An investigation conducted by the Wage and Hour Division (WHD), part of the US Department of Labor, found that the Patels, who own and operate nine gas stations and convenience shops in Carrollton and Bowden, Georgia, paid managers who are eligible for overtime a flat-rate salary, without regard to the number of hours they worked. This does not comply with the Fair Labor Standards Act (FLSA), as these individuals should have been paid overtime in addition to their usual salary when they worked more than 40 hours in a working week.
The WHD investigation further found that the employer did not maintain accurate records of the hours that its employees worked; this is a federal violation under the FLSA.
The operating sites affected, which consist of BP, Chevron, Marathon and Shell gas stations, includes Akash Retail, Caps Retail, Jay Ambica, Shastri, Shree Ambica Enterprises, VRH, Ram Shai Ram, Varsha Corp and Yogi Retail.
Eric Williams, district director, Atlanta at the WHD, said: “We encourage all employers to review their pay practices and contact the Wage and Hour Division for compliance assistance. By doing so, employers can ensure all employees are paid properly and avoid violations like those found in this case.”