Wage and Hour Division (WHD)

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HOUSTON, TX -- The U.S. Department of Labor today announced the filing of a lawsuit against MBR & Associates Inc. and M. Brian Ramon, president of the Arlington, Texas-based company, to recover $135,000 in back wages due 35 former and current construction and foundation repair workers.

The investigation, conducted by the department’s Wage and Hour Division, Dallas district office, covered the two-year period Dec. 9, 2001 to Dec. 9, 2003. Investigators determined that MBR & Associates had violated the overtime provisions of the Fair Labor Standards Act (FLSA) by incorrectly classifying employees as exempt and failing to properly pay overtime wages. In addition, the required recordkeeping was not maintained.

“Employees were paid a salary without any overtime compensation for hours worked over 40 in a workweek. This is illegal,” said Cynthia Watson, Wage and Hour regional administrator in Dallas. “Workers’ overtime rights are further strengthened by our new overtime security rules, which increase protections for millions of workers by updating and clarifying the old regulations.”

The FLSA requires that covered employees be paid the minimum wage for all hours worked plus 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. Average days to resolve a complaint decreased in fiscal 2004 from 108 to 92 days.

For more information about the FLSA, call the Wage Hour Dallas district office at (817) 861-2150, metro number (817) 261-4371 or the Department of Labor’s toll-free line at 1-866-4USWAGE (1-866-487-9243). Information is also available 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.