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WHD Regional Offices Reach Settlements; Pursue Ongoing Enforcement Actions Against Employers

Wolters Kluwer (01/18/2012)

The U.S. Department of Labor’s Wage and Hour Division reports that the Temp Team Inc., a Dallas-based temporary staffing company, has agreed to pay $244,104 in back wages to 252 current and former employees after an investigation found violations of the Fair Labor Standards Act’s overtime and record-keeping provisions. An investigation by the Dallas district office found that 250 Temp Team employees worked as many as 79 hours a week and were paid a straight-time rate, instead of an overtime rate, for hours worked over 40 in a week. The company violated FLSA record-keeping provisions by failing to maintain accurate records of its employees’ total work hours and wages. Under FLSA, DOL notes, employees who are placed by a staffing company at a client site are typically considered jointly employed by the staffing firm and the client(s), and joint employers are responsible for ensuring FLSA compliance.