Labor Department recovers $155K for underpaid Colorado workers

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Lori Chavez-DeRemer Secretary | US Department of Labor (DOL)

Labor Department recovers $155K for underpaid Colorado workers

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The U.S. Department of Labor has recovered $155,066 in back wages and fringe benefits for 19 employees who were underpaid by a Colorado contractor on a federally funded project. The Wage and Hour Division discovered that AAA Fire Protection Inc., contracted to install sprinklers at a mixed-use complex in Denver, misclassified 16 workers as apprentices. This resulted in violations of the Davis-Bacon and Related Acts due to failure to provide proper prevailing wages and fringe benefits.

Additionally, the company did not pay overtime premiums for hours worked beyond 40 per week and failed to maintain accurate records, breaching the Fair Labor Standards Act. "An employer cannot simply classify workers as apprentices and pay them a lower rate," said Wage and Hour Division District Director David Skinner in Denver. He advised contractors to seek compliance assistance for proper worker classification.

AAA Fire Protection Inc., based in Commerce City, agreed to adhere to the Davis-Bacon Act in future contracts. The Wage and Hour Division offers free virtual seminars on related topics, including compliance processes.

For more information or assistance, employees and employers can contact the agency’s helpline at 866-4US-WAGE (487-9243). A free Timesheet App is available for download on iOS and Android devices to help ensure accurate tracking of hours and pay.

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