Wage and Hour Division (WHD)

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RAMSEY, Minn. -- The U.S. Department of Labor has recovered $48,919 in back wages for 14 workers employed by Riverside Manufacturing Inc. in Ramsey, Minn., after an investigation by the department’s Wage and Hour Division determined the company had violated the overtime pay provisions of the Fair Labor Standards Act (FLSA).

“The department is committed to ensuring that all workers receive all wages that they have earned,” said Jose Medina, director of the Wage and Hour Division’s district office in Minneapolis.

The investigation covered the period from March 2005 to March 2007. It established that Riverside Manufacturing Inc., a machine shop that employs machinists, quality control assistants and shop laborers, failed to pay nonexempt workers time and one-half their regular rates of pay for all hours worked in excess of 40 per week and failed to keep accurate time and payroll records.

The FLSA requires that employees be paid the federal minimum wage for all hours worked and time and one-half their regular rates of pay for hours worked beyond 40 in a week unless the employee is exempt. The FLSA provides an exemption from both minimum wage and overtime pay for bona fide executive, administrative, professional and outside sales employees. To qualify for exemption, employees generally must meet certain job duty and salary tests. Employers must also maintain accurate time and payroll records.

Effective July 24, 2007, the federal minimum wage for covered nonexempt employees rose to $5.85 per hour. The minimum wage will increase to $6.55 per hour effective July 24, 2008, and to $7.25 per hour effective July 24, 2009.

For more information, call the Department of Labor’s toll-free helpline at (866) 4US-WAGE (487-9243). Information is also available on the Internet at www.wagehour.dol.gov. Information about the current exemption for white collar executive, administrative, professional and outside sales employees can be found on the Internet at http://www.dol.gov/fairpay.

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U.S. Department of Labor releases are accessible on the Internet at www.dol.gov. The information in this news release will be made available in alternate format (large print, Braille, audio tape or disc) from the COAST office upon request. Please specify which news release when placing your request at (202) 693-7828 or TTY (202) 693-7755. The Labor Department is committed to providing America’s employers and employees with easy access to understandable information on how to comply with its laws and regulations. For more information, please visit www.dol.gov/compliance.