DOL turns up the heat after ICE raid
About a year ago, we wrote about Immigration and Customs Enforcement (ICE) raids of Mississippi poultry processors, resulting in hundreds of suspected undocumented workers being removed from the worksites (see Despite the heat, ICE hits Mississippi in our September 2019 issue). Now, the U.S. Department of Labor (DOL) has moved in, conducting Fair Labor Standards Act (FLSA) audits of some of the very same companies and finding violations ranging from (1) failing to pay workers their final paychecks, (2) requiring employees to cover the cost of required clothing, (3) not including bonuses in the regular rate of pay when calculating overtime, and even (4) employing minors in a hazardous industry. Many of the violations are fairly common but can easily be avoided with a better understanding of the FLSA's requirements. Let's take a closer look.
Common FLSA violations
Minimum and overtime wages. Among other things, the FLSA requires you to pay nonexempt employees at least the federal minimum wage (currently $7.25) for all hours worked and time and one-half for all hours worked over 40 in a single workweek.
While state law, as opposed to the FLSA, governs the timing for final paychecks, the complete failure to pay employees their final paycheck upon separation from employment clearly violates the Act's requirement that employees be paid minimum and overtime wages. The violation is easy to fix: Don't stiff employees on their last paycheck.