A residential builder in Frisco, Texas, had to pay $163,648 in back wages after a U.S. Department of Labor investigation into improper overtime practices, as reported in a Feb. 15 Department of Labor news release.
Northland Development of Texas Inc. implemented pay practices that led to Department of Labor violations, the agency said.
“Too often, the Wage and Hour Division encounters employers who underreport employees’ hours of work and undercut competitors by failing to pay full wages as the law requires,” Jesus Valdez, Wage and Hour Division director in Dallas, said.
Northland Development of Texas Inc. paid employees straight time instead of time-and-a-half when they worked overtime. The company also underreported time worked by deducting more time than employees took for lunch, the Department of Labor reported.
The investigation revealed 47 Northland Development workers had been underpaid, according to the Department of Labor.
More than 3,000 construction industry investigations were conducted in fiscal year 2021 by the department’s Wage and Hour Division. That resulted in the retrieval of $36 million in back wages for more than 21,000 workers, the Department of Labor said.
The Wage and Hour Division can be called confidentially by workers with questions, regardless of immigration status, at the toll-free helpline at 866-487-9243. Staff can speak with callers in more than 200 languages, according to the Department of Labor.
