Wage and Hour Division (WHD)

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MACEDONIA, Ohio -- The U.S. Department of Labor has filed a legal action in federal district court in Cleveland against Ronald Schultz of Macedonia and his business, Pro-Lawn Inc., for alleged ongoing violations of the overtime pay provisions of the Fair Labor Standards Act (FLSA). The lawsuit seeks to recover approximately $50,000 in back wages for 20 workers, plus an additional amount in liquidated damages.

The department’s Wage and Hour Division conducted an investigation covering a two-year span beginning in January 2005, which found that the business failed to pay workers the minimum wage and to pay them time and one-half for all hours worked in excess of 40 per week

The FLSA requires employees, unless otherwise exempt, to 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. 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 will be $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 on the FLSA, 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 and professional 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.