HR Management & Compliance, Uncategorized

$1 M in back wages recovered for NJ gas station workers

A multi-year investigation by the United States Department of Labor into violations of wage and hour laws by New Jersey gas stations has found “consistent and widespread noncompliance,” according to agency officials. The investment action recovered more than $1 million in back wages for 295 workers.

In an agency statement, DOL Secretary Hilda L. Solis said the department’s findings revealed “a culture of noncompliance by gas stations in New Jersey that will not be tolerated.”

Among the violations revealed by DOL:

  • Paying below the minimum wage
  • Paying a flat salary or “straight time” wages for all hours worked, without regard to overtime requirements
  • Paying cash wages off the books, rather than maintaining records.

Sixty-nine of the establishments investigated were BP branded. Non-BP stations whose owners also had BP stations were found to have similar violations.

After being notified of the violations, BP Products North America Inc. issued a letter to each of its marketers in New York and New Jersey, reminding them of their legal responsibilities and encouraging them to review their pay practices, DOL said.

Calls to BP for comment were not returned at presstime. A company spokesman made the following statement to newjersey.com: "While BP does not operate the service stations in the state, the company is taking appropriate steps to promote wage and hour law compliance.”

Strategies DOL says it is employing to assess compliance with wage and hour laws include:

  • Inspections of payroll records and employment practices
  • Employee interviews
  • Unannounced inspections of facilities
  • Morning, evening and weekend surveillance of employers suspected of committing violations

 

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