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NY Parking Garage Agrees to Pay $54K to Low-wage Workers in Lawsuit Settlement

February 24, 2011

Our Riverside, California labor and employment lawyers recently discussed wage theft in the workplace, after a University of California, Los Angeles (UCLA) study uncovered rampant wage and hour violations in low-wage industries in California, Chicago and New York.

In related news, a New York City parking garage company has recently been ordered by a federal district court to pay 14 low-wage workers around $48,000 in back wages and liquidated damages, as well as civil money penalties after the company was found to have willfully violated the overtime compensation and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

After a DOL investigation, Park It Management, Inc., was found to have willfully and repeatedly violated the FLSA by forcing low-wage workers to work over 40-hours in a week for multiple weeks without full compensation for all hours worked. In a recent Riverside employment attorney blog, our lawyers stated that the federal minimum wage is at least $7.25, and any hours worked beyond 40 in a week should be compensated for one and one-half times an employee's regular hourly work rate. The company was also found to have violated the FLSA by failing to maintain accurate time and pay records for all hours worked, a legal requirement under the act.

The court's consent judgment permanently prohibits the parking company from any future FLSA overtime, minimum wage, and recordkeeping violations, and prohibits the employers from retaliating against any workers who exercise their employment rights under FLSA laws.

Manhattan parking garage agrees to pay more than $54,000 in back wages, liquidated damages and penalties to settle US Labor Department lawsuit, U.S. Department of Labor Press Release, February 9, 2011

Related Web Resources:

U.S. Department of Labor: Wage and Hour Division (WHD), Fair Labor Standards Act (FLSA)

Related Blog Posts:

Mexican Restaurant Chain Fined $400K for Minimum Wage and Overtime Violations, California Employment Lawyer Blog, February 12, 2011

New Study Reveals More Abuse of Low-wage Workers in Los Angeles, California Employment Lawyer Blog, January 11, 2010