Following an investigation conducted by the U.S. Department of Labor’s Wage and Hour Division (WHD), Burnco Colorado LLC, operating under the trade name Bestway Concrete and Aggregates, has taken corrective action by paying $77,238 in back wages to 406 employees. In the WHD VS. Burnco Colorado LLC case, the resolution comes in response to the company’s violations of the Fair Labor Standards Act’s (FLSA) overtime regulations at their facilities in Milliken, Colorado, and Irvin, Texas.
The investigation found that Burnco Colorado LLC had breached FLSA’s overtime provisions by neglecting to include bonuses earned by their employees in the computation of overtime rates. This omission resulted in the company paying overtime compensation at rates that fell below the legal requirements.
Chad Frasier, District Director of the Wage and Hour Division in Denver, emphasized the significance of the Department of Labor’s role in educating and enforcing compliance with labor laws. He highlighted the availability of numerous resources, both online and in-person, to assist employers in understanding and adhering to federal labor regulations, ultimately promoting fair competition and ensuring employees receive their rightful earnings.
Lessons learned from the case:
- Employers must accurately include all forms of compensation, such as bonuses, when calculating overtime rates for their employees to comply with the Fair Labor Standards Act (FLSA). Failing to do so can lead to violations and financial penalties.
- The U.S. Department of Labor offers a range of resources to assist employers in understanding and adhering to federal labor laws. Employers should proactively utilize these resources to avoid violations and ensure fair treatment of employees.
- Compliance with labor laws not only safeguards workers’ rights but also promotes fair competition among businesses. Employers who adhere to regulations create a level playing field in the marketplace.
If you want to know more about overtime regulations, read our guide on Colorado Overtime Laws.
