A Cleveland-based security firm has settled a time and attendance lawsuit with employees working as security guards. According to The Cleveland Plain Dealer, 30 employees will split a $14,760 settlement after an investigation conducted by the state's Wage and Hour Division determined that employees routinely worked more than 40 hours in a week without being paid overtime.
The Fair Labor Standards Act states that anyone classified as non-exempt must be paid for any hours in excess of what is considered standard in a workweek.
This is the second investigation into the company's business practices. In the first, the security firm was also found liable for non-payment of overtime and a settlement judgment was rendered. However, a follow-up probe was launched after allegations surfaced that the company requested workers receiving settlements to return the money.
The president stated that he allowed his employees to work extra hours but informed them that they would only receive their regular rate of pay because he could not afford overtime, and workers allegedly agreed to the proposal. In addition to back pay, the firm will be forced to pay a $5,000 fine.
Unique views: 3,575
Total views: 3,575
All data and information provided on this news blog is for informational purposes only. Infinisource makes no representations as to accuracy, completeness, suitability, or validity of any information on this site and will not be liable for any errors, omissions, or delays in this information or any losses, injuries, or damages arising from its display or use. All information is provided on an as-is basis. Information regarding employment suits and other legal action is not updated after publication, and may not be current.