Wage and Hour Division (WHD)

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SAN FRANCISCO -- A company which produces women's clothing sold nationwide has agreed to pay $59,833 in back wages and penalties to settle a federal complaint that the company violated federal wage and hour laws.

Brooks Garment, Inc., managed by Chrissy Lam, with offices at 1326 Brooks Street, signed a consent judgment to settle charges that the company failed to pay employees wages at least equal to the federal minimum wage, and higher overtime pay for extra work hours. The Fair Labor Standards Act requires, in part, that employees paid by the hour earn no less than $5.15 per hour, and no less than one and one-half times their regular rate of pay for any work hours in excess of forty within a seven-day work week.

Federal compliance officers with the Labor Department's Wage and Hour Division determined that Brooks employees were paid a flat fee for their work on each garment. That "piece rate" did not provide higher overtime pay for workers who were eligible, and in many cases resulted in an hourly wage below the allowable minimum.

Under the terms of the agreement entered in the U.S. District Court February 7, Brooks will pay a combined $55,073 in back wages to 17 employees for work performed during the period from August 1999 to August 2001. The judgment includes an additional $4,760 in civil money penalties.

The investigation of Brooks Garment, Inc. was conducted by the Santa Ana office of the Wage and Hour Division under the supervision of assistant district director Brian Taverner. The Wage and Hour Division enforces federal regulations on minimum wage, overtime and child labor; the Family Medical Leave Act, special wage and hour requirements for federal contractors; wage garnishment and the protection of migrant and seasonal farm workers. In addition to its enforcement efforts, the agency provides information and education programs to inform employers of their rights and responsibilities in order to foster understanding and compliance.

Workers and employers with questions about their wages and work hours can call the Wage and Hour office in Santa Ana at 714-836-2156. The office has multilingual staff which can provide information in several languages.

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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.