The Department of Labor has asked a Louisiana subcontractor to pay $33,000 in back wages. DOL claims that Karl Fusillier, who was working on the federally funded Choctaw Lodge project, misclassified his three co-workers as “laborers,” thus cheating them of nearly $11 per hour.

Through DOL’s Wage and Hour Division, an investigation was conducted into Pete’s Plumbing of Livingston Parish LLC. It was found to be in violation of Davis Bacon and Related Acts which require employers to pay prevailing wages on federally funded projects.

In a press release from DOL, regional administrator of Wage and Hour Division in Southwest Betty Campbell said:

"Companies awarded federal contracts must comply with all applicable laws. When a company, especially the prime contractor, enters into a contract with a federal agency, they agree to pay all workers the prevailing wages for that area. The agreement includes the workers for all subcontractors. Classifying an employee incorrectly as a ‘laborer’ who performs the work of a skilled tradesperson using the tools of the trade cheats the worker, their family and the company’s competitors.”

The Fair Labor Standards Act requires that covered, nonexempt employees be paid at least the federal minimum wage of $7.25 per hour for all hours worked, plus time and one-half their regular rates, including commissions, bonuses and incentive pay, for hours worked beyond 40 per week. Employers also are required to maintain accurate time and payroll records.

For further details, click below.

Read more >