US Labor Department sues Salt Lake City Companies for Overtime Back Wages to – Los Angeles Wage & Hour Claims Attorneys Blumenthal, Nordrehaug & Bhowmik

by Norman B. Blumenthal on May 22, 2013

contractorsThe U.S. Department of Labor Wage and Hour Division has filed a lawsuit against several Salt Lake City companies - Universal Contracting LLC, CSG Workforce Partners LLC, Decorative Enterprises LLC, Mountain Builders Inc., Cory Atkinson, Tracy Burnham and Ryan Pace – for willful violations of the Fair Labor Standards Act’s (FLSA) overtime and record-keeping provisions.

According to the lawsuit, employment agencies Universal Contracting and CSG Workforce Partners provided laborers to contractors—Decorative Enterprises and Mountain Builders—and charged the laborers and contractors a fee for their employment placement services.  The companies then misclassified workers as something other than employees, claiming there was no employee-employer relationship, and denied the employees overtime compensation, as required by the FLSA.

“Universal Contracting, CSG Workforce Partners and their clients are intentionally skirting the law by willfully and wrongfully claiming that their workers are not employees because they are members or owners in a limited liability company,” said Cynthia Watson, Wage and Hour Division southwest regional administrator.   The violations committed by Universal Contracting and CSG Workforce Partners are considered willful because the companies had been notified previously by the Wage Hour Division that the workers were employees.

Under the FLSA, nonexempt employees must be paid at least the federal minimum wage 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. Additionally, employers must maintain accurate time and payroll records.

Blumenthal, Nordrehaug & Bhowmik is an experienced California employment law firm with offices located in San Diego, San Francisco and Los Angeles. The firm dedicates its practice to contingency fee employment law work for issues involving misclassification as a salaried worker exempt from overtime, failure to pay vacation wages, misclassification as an independent contractor, off-the-clock work, wrongful termination, discrimination and other California labor laws.

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