Wage and Hour Division (WHD)

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LOUISVILLE, Ky. --

ManTech, a telecommunications information company, has agreed to pay $131,165 in back wages to 31 employees after a U.S. Labor Department’s Wage and Hour Division investigation determined that the workers’ jobs at Ft. Knox had been misclassified.

“The misclassification resulted in the company using a wage rate for these employees that was less than that required by their federal contract,” said James Karn, the Wage and Hour Division’s district director in Louisville. “Businesses that contract with the government must compensate employees based on specific job duties and pay scales mandated by the Service Contract Act.”

The Wage and Hour investigation covered the period January 2005 to June 2006. The employees provided information and technician services at the base’s Urban Combat Training Center. The recovered back wages include overtime pay which had been calculated at the lower pay rate.

The Chantilly, Va.-based company cooperated during the investigation and has reclassified the employees.

Under the Service Contract Act, contractors with federal service contracts over $2,500 must pay their service workers no less than the wages and fringe benefits prevailing in the locality. The Labor Department issues wage determinations that provide the required wage rate and fringe benefits for each service occupation. These determinations are incorporated into covered federal contracts.

The Contract Work Hours and Safety Standards Act requires that employees employed on certain federally-funded contracts be paid one-and-one-half times their regular rate of pay for all hours worked over 40 in a single workweek. Employers must also maintain accurate records of employees’ wages, hours and other conditions of employment.

For further information about the federal contract labor laws and other laws administered by the Wage and Hour Division, call the department’s toll-free help line at 1 (866) 4US-WAGE (487-9243), visit the Wage and Hour Division Web site at www.wagehour.dol.gov, or contact the Wage and Hour Division’s district office in Louisville, 601 W. Broadway, Room 31; phone: (502) 582-5226.

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