An investigation by the U.S. Department of Labor’s Wage and Hour Division found that an RNR Tire Express franchise in Davenport, Iowa, failed to include non-discretionary bonuses in the regular rate of pay when calculating overtime pay, a violation of the Fair Labor Standards Act. The employer also did not maintain timecards for hourly paid employees.
RNR Tire Express is a national franchise tire and custom wheel retailer with more than 180 U.S. locations.
The company has paid a total of $33,846, representing $16,923 in back wages and an equal amount in liquidated damages for 11 employees.
“Inaccurate overtime calculations by employers are among the most common violations found by our investigators. Employers unsure of how to determine an employee’s rate of pay for overtime purposes should contact the Wage and Hour Division for assistance or visit the overtime compliance assistance webpage we offer,” explained Wage and Hour District Director Marietta Taylor in Des Moines, Iowa.
For more information about the Wage and Hour Division, overtime pay, or if you think you may be owed back wages collected by the division, visit their website. For confidential compliance assistance, employees and employers can call the agency’s toll-free helpline at 866-4US-WAGE (487-9243). The agency also offers a Timesheet App for iOS and Android devices to ensure hours and pay are accurate.
