labor lawAdivision of labor law center

When it comes to federal and Maine overtime laws, companies need to exercise care. Recently, a tree-trimming company in Houston was found guilty of violations. The US Department of Labor conducted an investigation, and now the firm must pay overtime compensation of $1.8 million to 2,501 workers.

The Department of Labor conducted their investigation in the time period from August, 2004 through August, 2006. ABC Professional Tree Services was found to have violated minimum wage laws. In addition to these laws, the tree service was found to be in violation of the Fair Labor Standards Act, also known as FLSA. A disgruntled employee gave the Department of Labor a tip that started the investigation.

ABC Professional Tree Services trims and cuts trees, plus offers clean-up services around power lines. Utility companies use their services. This company, which specializes in cleaning up areas following a natural disaster such as a hurricane, has agreed to pay employees back wages totaling $1,801,507.

According to U.S. Secretary of Labor, Elaine L. Chao, “We are pleased that we were able to help these workers get the back pay they deserve.” As she explains, “The department will continue our efforts to ensure that employers are paying workers properly.”

The back wages that ABC Professional Tree Services must pay are partly the result of time worked after Hurricane Katrina. Back wages will be paid by the tree service to employees in Maryland, Virginia, Maine, Florida, Louisiana, Maine, Ohio, New Jersey, New York, Tennessee, Mississippi, South Carolina, Arkansas, North Carolina, and Georgia. 

For the first 40 hours employees work during the week, they have to be paid minimum wage, which is $5.15 per hour. This is a requirement of the Fair Labor Standards Act. If employees work over 40 hours during the week, they must be paid 1.5 times their hourly salary for each additional hour worked. To ensure that employees receive the pay they deserve, all employers must keep payroll and time records that are accurate. 

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