Wage and Hour Division (WHD)

Printer-Friendly Version

Press Releases

SAN FRANCISCO, CA -- The U.S. Department of Labor announced today that Insight Enterprises Inc., a Tempe-based technology firm, has paid more than 2000 employees $1.3 million in back wages for unpaid overtime and unlawful deductions made from salaries.

“We are committed to making sure that workers receive all the wages they have earned,” said Secretary of Labor Elaine L. Chao. “I am very pleased that our efforts in this case recovered $1.3 million in back wages for over 2,000 workers.”

The employees receiving back wages worked for two of the company’s three operating segments, Insight North America and Direct Alliance Corp. Both segments paid non-exempt, salaried employees less than their full salary in weeks when their work hours totaled fewer than 40. They also failed to include incentives and commissions in the regular rate of pay when computing overtime wages for inside sales employees.

The Fair Labor Standards Act (FLSA) requires that salaried employees be paid their full salary even in workweeks when they work less than 40 hours and that overtime be computed to include commissions, bonuses and incentive pay when employees work more than 40 hours in a workweek.

The firm cooperated with agency officials to resolve the pay issues when they were made aware of the violations, according to agency officials, and expedited payment of back wages to their employees.

The Wage and Hour Division offers a user-friendly website to help employers properly pay and classify employees. For more information about the FLSA, including an online tool for determining overtime eligibility, visit www.wagehour.dol.gov. An elaws FLSA Overtime Security Advisor is available at www.dol.gov/elaws/overtime.htm.

Information about the FLSA can also be obtained from the Phoenix Wage and Hour office at (602) 514-7100 or the Department of Labor's toll-free help line at 1-866-4US WAGE (1-866-487-9243).

###

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.