Home Sea food Hawaii seafood trader pays $117,000 in back wages and civil penalties

Hawaii seafood trader pays $117,000 in back wages and civil penalties

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HONOLULU (KHON2) – A seafood trader has paid $117,718 in back wages to 33 employees after a Department of Labor (DOL) investigation found the company failed to include bonuses during calculation of overtime pay.

DOL also said United Fishing Agency should have included the bonuses in overtime wages because they gave the bonuses to workers to promote productivity.

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The DOL investigation found the company owed $58,859 in unpaid overtime and failed to keep accurate payroll records, a violation of the Fair Labor Standards Act (FLSA).

“When employers calculate the additional half-time hourly rate due to employees who work more than 40 hours per week, they must include in those calculations incentive compensation such as certain bonuses, shift pay and on-call pay,” said LWHD director Terence. Trotter in Honolulu. “Employers should take advantage of the many educational tools we offer to avoid costly violations such as those seen in this case.

United Fishing Agency issued a statement, saying it is “committed to fairly compensating its workers and has always paid overtime to its employees. The company was simply ignoring its obligation to include non-discretionary bonuses in the calculation of the overtime rates The company has taken the necessary corrective action and will continue to seek guidance from the US Department of Labor to ensure it remains in compliance going forward.

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For more information on salaries and the FLSA, click here.