Wage and Hour Division (WHD)

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URBANA, Ill -- The U.S. Department of Labor has filed legal actions against Topa Inc., doing business as Midas Muffler, 304 W. University Ave., Urbana, Ill., and company president Atta Toghraee, for alleged violations of the overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

The department’s Wage and Hour Division conducted an investigation of the muffler and brake shop covering a two-year period beginning September 2004. The investigation found that the employer failed to maintain an accurate record of hours worked, and to pay non-exempt workers time and one-half for all hours worked in excess of 40 per week.

The FLSA requires employees 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, unless the employee is exempt from overtime pay. 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 non-exempt employees rose to $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, 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.