Skip to main content

Arizona underground utility contractor agrees to pay $750,000 in overtime back wages following US Labor Department investigation

HESPERIA, Calif. — Arizona Pipeline Co. has agreed to pay $750,000 in back wages to 740 employees following an investigation by the U.S. Department of Labor's Wage and Hour Division, which found that the company violated the overtime and record keeping provisions of the Fair Labor Standards Act.

The Arizona-incorporated company, which contracts with major utility companies to install underground utilities, has main offices in Hesperia and is licensed in eight states: Arizona, California, Nevada, Utah, New Mexico, Oregon, Washington and Texas. It maintains construction yards in Phoenix and Tucson, Ariz.; Corona and Indio, Calif.; and Las Vegas and Carson City, Nev. The company specializes in gas distribution; long line pipeline; power distribution and transmission; fiber optics placement; engineering and design; and sewer, water and storm drains.

"There is no excuse to deny workers the wages they have worked hard to earn. All businesses have an obligation to pay their employees fairly and must comply with federal labor laws," said Secretary of Labor Hilda L. Solis. "Cheating workers out of time spent on the job — whether performing work-related tasks, traveling or attending a meeting — is unacceptable."

Investigators determined that Arizona Pipeline Co. did not pay employees for pre-shift and post-shift time required for loading and unloading material, cleaning trucks or picking up equipment. Additionally, workers were not compensated for travel time from the company yard to job sites and back, and they were required to attend a one-hour monthly meeting that was unpaid. The company also docked a half-hour lunch time from employees' pay even though they typically had a 15-minute lunch period or worked through their lunch periods.

This investigation was conducted by the Wage and Hour Division's West Covina District Office and covered a two-year period beginning in November 2007. Of the 740 affected employees, 487 are in California, 244 are in Arizona and nine are in Nevada.

The FLSA requires that covered employees be paid for attending required meetings, and for pre-shift and post-shift job duties. Employees also must be paid at least the federal minimum wage of $7.25 for all hours worked, plus time and one-half their regular rates of pay, including commissions, bonuses and incentive pay, for hours worked beyond 40 per week. Additionally, employers must maintain accurate time and payroll records.

For more information about the FLSA, call the Wage and Hour Division's toll-free helpline at 866-4US-WAGE (487-9243). Information is also available on the Internet at http://www.dol.gov/whd.

Comments

Popular posts from this blog

15 Gang Members Convicted on Conspiracy, Weapons Possession, Firearms Trafficking Charges Case Follows Recent Convictions of 137th Street Crew and East Harlem Narcotics Trafficking Organization

Manhattan District Attorney Cyrus R. Vance, Jr., announced the results of the investigation and prosecution of one of Central Harlem’s most destructive criminal street gangs, referred to as “ONE TWENTY-NINE” or “GOODFELLAS/THE NEW DONS,” which terrorized the neighborhood surrounding West 129th Street between Lenox and Fifth Avenues. Thirteen members of the gang have previously pleaded guilty to importing, possessing, and using firearms over the course of the conspiracy.

Mortgage Fraud

Manhattan District Attorney Robert M. Morgenthau announced today the indictment of 13 individuals and a mortgage origination company for perpetrating over $100 million in mortgage fraud over a four-year period in the New York City metropolitan area. In addition, 12 individuals have already waived indictment and pleaded guilty to felonies relating to their participation in the mortgage fraud scheme. The indictment charges 13 individuals and the mortgage company, AFG FINANCIAL GROUP, INC., with enterprise corruption, grand larceny, scheme to defraud and conspiracy involving 19 fraudulent mortgage transactions. The defendants include the principals and a number of employees of the mortgage company, as well as bank employees, appraisers, and three attorneys. Two other attorneys are among the defendants who already pleaded guilty. The crimes charged in the indictment occurred between June 2004 and April 2009 with the bulk of the fraudulent closings occurring from mid-2005 through the end of...

DISTRICT ATTORNEY VANCE ANNOUNCES INDICTMENT OF SIX SUBCONTRACTING COMPANIES AND THEIR OWNERS IN MULTIMILLION-DOLLAR FRAUD

Manhattan District Attorney Cyrus R. Vance, Jr., today announced the indictments of six subcontracting companies and their owners for colluding with LEHR CONSTRUCTION CORPORATION (LEHR) in a multimillion dollar scheme that defrauded numerous construction clients over the past decade. See, related story. The announcement comes one day after DA Vance announced LEHR and four executives were indicted on crimes including Enterprise Corruption, the New York State Racketeering law. GODSELL CONSTRUCTION CORPORATION and its owner ARTHUR GODSELL are charged with Grand Larceny in the Second Degree. JT ROSELLE LIGHTING, INC. and its owner JAMES ROSELLE, LIBERTY CONTRACTING CORPORATION and its owners GEORGE FOTIADIS and KEVIN FOTIADIS, PJ MECHANICAL and its owner JAMES PAPPAS, SUPERIOR ACOUSTICS, INC. and its owner KENNETH MCGUIGAN, and SWEENEY & HARKIN CARPENTRY and its owner MICHAEL HAYES are charged with Grand Larceny in the Third Degree.[1] "The defendants in this case cheated clie...