US Department of Labor - Car Wash pays $100,000 in back wages to 55 employees

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San Francisco CA - Bonus Car Wash has paid $100,000 in back wages to 55 employees following an investigation by the U.S. Department of Labor's Wage and Hour Division. Investigators found that the employees, who worked as many as 10 hours in a day, did not receive correct overtime pay and sometimes earned less than the federal minimum wage.

The Santa Monica company also failed to properly record the hours of work for these employees, who were car dryers, washers, detailers and ticket writers. The workers began receiving back wage payments in November 2006 for work performed between August 2004 and October 2005. Final back wage payments were completed in January.

The Fair Labor Standards Act (FLSA) requires that covered employees be paid at least the federal minimum wage and receive overtime at one-and-one-half times their regular rate of pay for hours worked over 40 per week.

...US Tax News - Latest

Further Information:
Santa Monica Car Wash Pays $100,000 in Back Wages to 55 Employees Following U.S. Labor Department Investigation


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