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ESA News Release: [05/08/2006]
Contact Name: Dollie Hatchett
Phone Number: (202) 693-4650
Release Number: 06-0769-KAN

George’s Processing Has Agreed to Pay More Than $1.2 Million in Back Wages Due 5,482 Cassville, Missouri Plant Workers

WASHINGTON — U.S. Secretary of Labor Elaine L. Chao announced today that George's Processing Inc. has agreed to pay $1,235,000 in back wages to 5,482 current and former employees of its Cassville, Mo., poultry processing plant for uncompensated overtime hours. The employees were not paid for time spent putting on (donning) and taking off (doffing) protective clothing and other gear, and walking to and from the changing area to their work stations. The judgment was filed in the U.S. District Court for the Western District of Missouri in Springfield.

"This administration is committed to ensuring that workers receive all the wages they have earned," said Secretary of Labor Elaine L. Chao. "I am pleased that in this case we are recovering over $1.2 million dollars for these workers and steps are being taken to ensure that workers are properly compensated in the future."

This significant settlement is the latest step in the department's initiative started several years ago to compel poultry processors to pay their workers for all hours worked. It follows from the unanimous decision issued by the Supreme Court in November 2005 in IBP v. Alvarez, which vindicated the department's longstanding positions on these issues. The department is actively moving ahead to assure that other affected companies also pay their employees for all hours worked and comply with the requirements of the Fair Labor Standards Act (FLSA).

In addition to the back wage payment, the judgment also enjoins George's Processing from future violations of the overtime and recordkeeping provisions of the FLSA. Under the terms of the judgment, the company agreed, without admission of liability, to locate and pay back wages to all current and former employees over a period of the next 12 months. At the end of that period, all undistributed payments will be returned to the Labor Department's Wage and Hour Division for final disbursement.

The period covered in this judgment is November 19, 2000 to April 15, 2006. Current and former employees, who worked at the Cassville plant during that time and believe they may be due back wages, should provide current address information by contacting the company toll free at 1-800-538-7413.

The FLSA requires employers to pay employees the federal minimum wage for all hours worked and time and one-half the regular rate of pay for hours worked more than 40 in a week unless the employee is exempt from overtime pay. Employers must also maintain accurate time and payroll records.

For more information on the FLSA, call the Department of Labor's toll-free help line at 1-866-4USWAGE (1-866-487-9243). Information is also available on the Wage and Hour Division's home page at www.wagehour.dol.gov.

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