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A hotel in New England is in hot water with the Department of Labor after an investigation into its pay practices led to a recovery of $71,809 for 47 employees. The New England hotel, Wentworth by the Sea Hotel, along with a contractor, Eco-Clean New England Inc., allegedly did not pay their employees minimum wage and overtime under the Fair Labor Standards Act (FLSA).
Someone owes you overtime pay.
Blurry is the line that distinguishes an employee from a contractor. This is especially true when one company assigns the workers to labor at another company. Essentially, if are employed by a contractor who sends you to work for other companies, you are still supposed to be paid according to the labor laws. Under some cases, both companies are considered your employee under the law. This is known as joint-employer liability.
Joint employer liability: Contractors and Subcontractors
Without getting too technical, workers who are employed by subcontractors for housekeeping, cleaning, landscaping, cable installation or other services may actually be eligible for overtime pay. Usually, both the general contractor and the subcontractor can be on the hook for your fair pay.
Why did the DOL check in to the hotel?
The hotel contracts out the housekeeping work through the contractor Eco-Clean, making them both responsible for following the federal wage laws. But the employees claim they were not paid overtime and instead were paid straight time for hours over 40 in a week, a violation of the FLSA. The employers also fell behind in payroll payments which led to employees making less than minimum wage.
DOL finds hotel and cleaning company were joint employers.
"Employers can contract out their work, but they cannot contract out the responsibility to comply with the law," a DOL representative said.
If your employer pays you unfairly you do have a choice.
If you are owed money by your boss, you may feel like there is little else you can do other than to show up to work every day and accept unfair wages. But you do have a choice: Order our free book to learn how employees just like you have recovered their overtime pay. Call 888-449-2068 to order your free book today, or fill out our online form.
The Texas overtime lawyers at Kennedy Hodges represent workers nationwide and across Texas in:
Houston, Dallas, Austin, San Antonio, Fort Worth, Pasadena, Laredo, Sugar Land, Lubbock, Illinios, New York, Massachusetts, Los Angeles, Chicago, Philadelphia, Phoenix, San Diego, San Jose, Jacksonville, Indianapolis, San Francisco, Columbus, Charlotte, Detroit, and more.
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