215 security professionals responsible for various duties at Indianapolis International Airport and local businesses have finally received their owed overtime wages.
In the U.S. Department of Labor vs. Protection Plus Inc. case, Protection Plus Inc. and its employer, Raymond Stanley, were compelled to pay $185,459 in wages, matched by an equal sum in liquidated damages, as per a June 7, 2022, consent judgment issued in the U.S. District Court for the Southern District of Indiana. Additionally, the employer incurred a civil money penalty of $69,540 for knowingly violating federal wage laws, echoing similar violations previously discovered in 2018.
The U.S. Department of Labor’s investigation revealed multiple infractions by Protection Plus, including the failure to pay overtime premiums to some employees for hours exceeding 40 in a workweek, inaccurate computation of overtime for employees with different pay rates for various tasks within the same week, and a lack of accurate payroll records. These actions were in direct violation of the Fair Labor Standards Act.
Despite a prior 2018 investigation resulting in the payment of overtime back wages, liquidated damages, and civil penalties, the company failed to rectify its pay practices, ultimately depriving employees of their rightful earnings. This case underscores the importance of fair wage practices, consistent record-keeping, and the repercussions of ignoring labor laws.
Lessons Learned from the Case:
- This case highlights the critical importance of companies adhering to labor laws and regulations, such as the Fair Labor Standards Act. Failure to do so can lead to substantial financial penalties and damage a company’s reputation.
- Employers must ensure that they properly calculate and pay overtime wages to eligible employees when they work beyond 40 hours in a work week.
- Even after facing penalties for labor law violations, companies must remain vigilant and make necessary changes to their pay practices and record-keeping systems to avoid repeating past mistakes. Neglecting to do so can result in recurring violations and further consequences for both employees and the company.
If you want to know more about overtime regulations, read our guide on Indiana Overtime Laws.
