2 companies didn’t pay South Mississippi workers for overtime work, Dept. of Labor says
South Mississippi companies Doleac Electrical Co. and Maxem Health Urgent Care have been ordered to pay employees for overtime violations by the U.S. Department of Labor.
Doleac, based in Hattiesburg, was ordered to pay $37,060 back in wages to 32 employees for violations that occurred during a project at the VA Medical Center in Biloxi, according to a Department of Labor news release.
The U.S. Department of Veterans Affairs had awarded the contract to Roy Anderson Corp., who subcontracted to Doleac.
Doleac “exceeded the permissible ratio of apprentices to journeymen on the job, resulting in apprentices being due the journeyman rate,” according to the release.
Companies are allowed to pay apprentices lower rates than journeymen, but a specific ratio must be maintained.
Doleac only paid overtime for hours worked at the jobsite, not travel time. They also didn’t pay the required overtime rate to electrician apprentices who worked more than 40 hours per week.
The release also noted that Doleac didn’t include Family and Medical Leave Act information in their employment handbook or new-hire packet.
Maxem Health Urgent Care, which runs Picayune Urgent Care Clinic and Petal Urgent Care, will pay $147,622 to 16 employees for violations found by the Department of Labor.
The company classified nurse practitioners as independent contractors instead of employees and paid them straight-time rates for all hours they worked, including when they worked more than 40 hours per week, according to the release.
Maxem also failed to combine hours employees worked at both locations during the same workweek. Maxem did not maintain accurate time and payroll records, which led to employees not being paid overtime, the release stated.
“Employers are required to pay their employees the wages they have legally earned for all the hours that they have worked,” said Wage and Hour Division District Director Audrey Hall, in Jackson, Mississippi.
“The Jackson Wage and Hour Division office is available to assist any employers in understanding their obligations. Violations like those found in this case can be avoided.”