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Wal-Mart to Pay $4.8 Million in Back Wages, Damages

Wall Street Journal (05/02/12) Shelly Banjo

As part of a settlement with the U.S. Department of Labor for alleged violations of the federal Fair Labor Standards Act’s overtime laws, Wal-Mart Stores Inc. will pay $4.8 million in back wages and damages and $464,000 in civil penalties, with more than 4,500 workers receiving payments of $30 to $10,800. DOL accused the company of incorrectly classifying security guards or managers in its vision departments as exempt from overtime rules. The violations occurred between 2004 and 2007, and Wal-Mart reclassified the workers and altered its pay practices when DOL informed the company of the issues back in 2007.