Illegal wage deductions for uniforms, cash register shortages and store damage are front and center in the latest U.S. Department of Labor crackdown.
The Wage and Hour Division ruled that Bellinger Parts Group must pay 20 workers at a South Carolina contingent of Napa Auto Parts $66,322 in back wages. The wage deductions at Napa Auto Parts stores in Darlington, Dillon, Effingham, Florence, Hartsville and Marion, South Carolina caused workers’ pay to fall below $7.25 — the federal minimum wage for all hours worked.
In addition to this Fair Labor Standards Act violation, DOL alleged the auto parts stores failed to pay overtime to non-exempt salary counter salespeople and delivery drivers. The agency said managers at the six stores did not correctly calculate overtime rates, thereby paying them less in overtime premiums.
This is just the latest in a slew of DOL crackdowns on overtime pay, illegal deductions and bonus pay. Below are some key instances that happened in the first half of 2023 alone.
As Columbia, South Carolina WHD District Director Jamie Benefiel said in a July 20 statement, “Other employers should use the outcome of this investigation as a reminder to review their pay practices to make certain they avoid violations that have costly consequences.”