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Jessica Looman, Administrator of the Wage and Hour Division | website U.S. Department of Labor

Labor Department recovers $24K from Kentucky smoke shop over unpaid overtime

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The U.S. Department of Labor has successfully recovered $24,284 in back wages and damages for 22 employees from 25 Vape & Smoke LLC, a Kentucky-based employer. The Wage and Hour Division found that the company, along with its owner Salik Rao, violated the Fair Labor Standards Act by paying straight-time wages for all hours worked instead of the required overtime rate for hours exceeding 40 per week.

Wage and Hour Division District Director Karen Garnett-Civils emphasized the importance of workers receiving their rightful earnings: “Kentucky workers support their families and communities when they clock in, but they can’t fully achieve their earnings’ potential when they do not get every penny they earned.” She further noted that "25 Vape & Smoke asked them to do a job, they did it, and those workers deserve to take home every dollar they earned.”

Regional Solicitor Tremelle Howard highlighted the obligations employers have towards their employees: “When a business owner hires workers, they are accepting the responsibilities that go along with that decision. Employers must follow wage laws, or they will face legal and financial consequences.”

This recovery follows a court order obtained by the Department’s Office of the Solicitor on July 23, 2024, in the U.S. District Court for the Eastern District of Kentucky. The order mandated payment of back wages and damages while also prohibiting future violations related to minimum wage, overtime wage, and recordkeeping provisions.

The Department encourages both workers and employers to utilize resources provided by the Wage and Hour Division. This includes a search tool for individuals who believe they may be owed back wages collected by the division. Additionally, there is confidential assistance available through calls where inquiries can be addressed in over 200 languages. To help ensure accurate tracking of work hours and pay, there is also a free Timesheet App available for download in English or Spanish on Android and iOS devices.

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