Wage and Hour Division (WHD)

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CHICAGO --

The U.S. Department of Labor has obtained a consent judgment requiring Progressive Security Concepts, a Southfield, Mich., security guard firm, and owner Gregory D. Wier to pay 550 workers $49,761 in minimum wage and overtime back pay to settle a lawsuit alleging violations of the Fair Labor Standards Act (FLSA), the federal wage and hour law.

“The Department of Labor is committed to enforcing the law and ensuring that employees, particularly low-wage workers as in this case, receive all wages they are owed,” said James Smith, district director of the department’s Wage and Hour Division in Detroit.

The investigation by the department’s Wage and Hour Division found that Progressive Security Concepts LLC, doing business as Progressive Security, deducted the cost of uniforms and processing fees for fingerprinting and drug tests from Detroit area workers’ wages. The deductions reduced the wages of 513 employees below the federal minimum wage. The investigation also found 65 employees who worked more than 40 hours in a week and were not paid overtime pay. The investigation covered the period August 2002 through February 2004.

A separate investigation of a branch office formerly located in Fort Lauderdale, Fla., disclosed overtime violations for 17 employees who worked more than 40 hours in a week and were not paid overtime pay. The violations occurred during the period October 2002 through May 2004. The branch office has ceased operations.

The consent judgment, filed in U.S. District Court for the Eastern District of Michigan, permanently enjoins Wier and his company from future violations of the minimum wage, overtime pay and recordkeeping provisions of the FLSA. Back wages will be paid to present and former workers within 60 days.

Progressive Security Concepts is engaged in security guard service at apartment buildings, department stores, banks and manufacturing facilities. The main office is located at 16250 Northland Drive, Southfield.

The FLSA requires covered employees to be paid the minimum wage for all hours worked and time and one-half their regular rate of pay for hours worked over 40 per week. Employers must also maintain accurate time and payroll records.

The Wage and Hour Division recovered nearly $200 million in back wages in fiscal year 2004 for more than 288,000 workers. For more information about 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 Internet at www.wagehour.dol.gov.

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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.