Rhode Island landscape Firm Pays $80,000 in Back Wages

The Fair Labor Standards Act of 1938, provides for minimum standards for both wages and overtime entitlement, and spells out administrative procedures by which covered work time must be compensated.
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The Federal Department of Labor recently investigated a Providence, R.I. landscape company and found it was in violation of the Fair Labor Standards Act. According to reports by the Associated Press, Allied Landscape Management Corporation has been ordered to pay almost $80,000 in back wages to 34 current and former employees. The investigation found that the landscaping firm had incorrectly listed these employees as independent contractors for at least two years; thereby, denying those employees an overtime premium for work in excess of 40 hours per week. They were instead paid straight time for all hours worked.

The Fair Labor Standards Act requires that employees be paid one-and-one half times their regular rate for all hours worked over 40 in a single week of work. According to the Labor department's regional office in Boston, Allied Landscape has agreed to fully comply with the orders.