Labor Department recovers $207K for unpaid overtime from Michigan contractor

Webp samanthathomas
Samantha Thomas, Regional Solicitor of Labor in Philadelphia | Linkedin Website

Labor Department recovers $207K for unpaid overtime from Michigan contractor

ORGANIZATIONS IN THIS STORY

The U.S. Department of Labor has successfully recovered over $207,470 in back wages and damages for 157 workers. This recovery follows an investigation into a Michigan-based electrical services contractor that failed to pay the correct overtime rates at job sites located in Arizona and Kentucky.

The department's Wage and Hour Division discovered that M.J. Electric LLC did not include non-discretionary bonuses in employees' regular rate of pay when calculating overtime, violating the Fair Labor Standards Act (FLSA). The initial investigation revealed this violation at the Tennessee Valley Authority’s Paradise Simple Cycle Project in Drakesboro, Kentucky. Further investigations found similar issues at another M.J. Electric project in Ehrenberg, Arizona.

In addition to recovering wages and damages, the division imposed a $19,782 civil money penalty on the company for repeating an FLSA violation. In 2018, M.J. Electric was previously investigated by the department for not properly paying overtime on non-discretionary bonuses.

"The U.S. Department of Labor is committed to holding employers accountable, especially when they deny employees their hard-earned wages," stated Wage and Hour Division Acting District Director Wildali De Jésus from Louisville, Kentucky. "We urge employers who are unsure of their obligations to contact us for assistance to avoid compliance issues."

M.J. Electric LLC is a subsidiary of Quanta Services and is headquartered in Iron Mountain, Michigan. The contractor offers electrical services including power line work and power generation across the United States.

For further information regarding compliance assistance and employee rights enforced by the division, individuals can reach out via the toll-free helpline at 866-4US-WAGE (487-9243). Additional resources such as a search tool for workers who believe they may be owed back wages collected by the division are available through their website.

The agency also provides a free Timesheet App for Android and iPhone devices to help ensure accurate tracking of hours worked and pay received.

ORGANIZATIONS IN THIS STORY