TheU.S. Department of Labor has recovered $319,065 in back wages for 49 workers employed by a New Orleans landscaping company that misclassified them as independent contractors and, by doing so, denied them overtime pay.
The department’s Wage and Hour Division determined Pfefferle Lawns violated the Fair Labor Standards Act by failing to pay overtime at time and one-half an employee’s rate of pay for hours over 40 in a workweek and not keeping accurate records.
“Misclassification of employees as independent contractors is not legal or fair. It deprives workers of their hard-earned wages, benefits and protections,” said Wage and Hour Division District Director Troy Mouton in New Orleans. “Companies that misclassify employees also usually deny them workplace rights and benefits, including overtime pay, and they also enjoy an unfair competitive advantage over other companies that comply with law.”
Source: Department of Labor
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