Limousine Company to Pay $500,000 in Back Wages and Damages for Overtime Pay Violations

Monday, July 14, 2014

A judgment entered in the U.S. District Court for the District of Connecticut resolves a lawsuit filed against S.D. Transportation Services LLC, doing business as Premier Limousine, and owner Stephen DiMarco, by the U.S. Department of Labor in March 2012. Premier Limousine, a Berlin company, will pay a total of $500,000 in back wages and liquidated damages to 183 drivers who were denied legally required overtime wages.

The department filed the suit after an investigation by its Wage and Hour Division found that the defendants had violated the federal Fair Labor Standards Act by underpaying drivers who regularly operated sedans, limousines and sport utility vehicles by paying them straight time rather than the legally required overtime of time and one-half their regular rates of pay when they worked beyond 40 hours in a workweek. Additionally, the defendants’ payroll records failed to reflect drivers’ total daily and weekly hours, as required by the FLSA.

In addition to the payment of back wages, liquidated damages and interest, the judgment enjoins and restrains S.D. Transportation from future violations of the overtime and record-keeping requirements of the FLSA.

The FLSA requires that covered, nonexempt employees be paid at least the federal minimum wage of $7.25 for all hours worked, plus time and one-half their regular rates of pay, including commissions, bonuses and incentive pay, for hours worked beyond 40 per week. Employers are required to maintain accurate time and payroll records.

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