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Wage and Hour Division - To promote and achieve compliance with labor standards to protect and enhance the welfare of the nation's workforce.

Press Releases

U.S. Department of Labor
Wage and Hour Division
Release Number: WH/06-1356-KAN

Date: 

August 18, 2006

Contact: 

Norma J. Conrad

Phone: 

816-426-5481

Payday Loan Company Pays More Than $500,000 in Back Wages to 900 Workers

KANSAS CITY, Mo. -- The U.S. Department of Labor announced today that Q.C. Financial Inc., a payday loan establishment that operates under the name of Quick Cash, has paid $519,088 in back wages to 900 employees to correct violations of the overtime provisions of the Fair Labor Standards Act (FLSA). The corporation is headquartered in Overland Park, Kan., and has numerous locations throughout the U.S.

“Workers deserve to receive all the wages they have earned,” said Secretary of Labor Elaine L. Chao. “We have recovered more than half-a-million dollars for these workers and steps are being taken to make sure they are properly compensated in the future.”

The department’s Wage and Hour Division in Kansas City conducted an investigation that covered the period Jan. 1, 2004 to March 31, 2006.

According to Deann Alvarado, Wage and Hour acting district director in Kansas City, the employer failed to pay overtime to non-exempt salaried managers and did not include bonuses in computing overtime pay for non-exempt salaried managers and employees who were paid hourly.

The Fair Labor Standards Act requires employees to be paid at least the federal minimum wage of $5.15 per hour for all hours worked and time and one-half their regular rate of pay for hours worked more than 40 in a week, unless the employee is determined to be exempt. In most circumstances, non-discretionary bonuses must be included with other pay to determine the rate of pay for purposes of calculating overtime. Employers must also maintain accurate time and payroll records.

For more information on the FLSA, call the Department of Labor’s toll-free help line at (866) 4USWAGE (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.


 



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