The U.S.
Department of Labor will recover more than $1.8 million in back wages
for more than 500 employees of MT Transportation & Logistics
Services Inc., a trucking company based in Bay Shore, under contract
with the United States Postal Service (USPS) to haul mail. The company
and its principal officers also will be debarred from receiving future
government contracts for a three-year period.
USPS
mail haul contracts are subject to the prevailing wage and fringe
benefits provisions of the federal McNamara-O'Hara Service Contract
Act. The McNamara-O'Hara Service Contract Act requires contractors and
subcontractors performing on federal service contracts in excess of
$2,500 to pay service employees no less than the wage rates and fringe
benefits found prevailing in the locality for the classification of
work that they perform. The department's Wage and Hour Division cited
the company and the company's officers for failing to pay their service
employees the legally required hourly rates and fringe benefits.
"The
laws governing prevailing wages and benefits on federal contracts grant
clear protections to workers, and the Labor Department will continue to
ensure that companies awarded federal contracts are following the
rules," said Secretary of Labor Hilda L. Solis.
In an
administrative complaint filed with the Labor Department's Office of
Administrative Law Judges (ALJ), the Wage and Hour Division named as
respondents the company, Anthony Alvarez as president, Andrew Meyers as
vice president-sales, Della Herzog as vice president-finance and Terri
Chester as controller/general manager. The ALJ approved a consent
findings and order to resolve the complainant when the respondents
agreed to pay a total of $1,830,800 in back wages and interest for the
period from Dec. 1, 2005, to Dec. 31, 2008. The judgment also orders
the company and the principal officers to be debarred from future
government contracts for three years and to establish a compliance
program to ensure future compliance with wage and hour laws.
The
investigation of this matter was conducted by the Westbury, N.Y.,
district office of the Wage and Hour Division. Workers and employers
may contact that office at 516-338-1890. For more information about the
provisions of the McNamara-O'Hara Service Contract Act, call the Wage
and Hour Division's toll-free helpline at 866-4US-WAGE (487-9243) or
visit the division's Web site at http://www.wagehour.dol.gov.