Judge orders RV dealership to pay more than $11K in back wages, damages to 2 recreational vehicle technicians in Coloma, Michigan

Date of Action: Aug. 19, 2015

Type of Action: Fair Labor Standards Act Consent Judgment

Names of Defendants: Krenek Motors Inc., d/b/a Krenek RV and Scott Krenek

Resolution: A judge has ordered Krenek RV and its owner, Scott Krenek, to pay two recreational vehicle technicians a total of $11,478 in unpaid overtime compensation and damages.

An investigation by the U.S. Department of Labor's Wage and Hour Division found that the company incorrectly categorized the technicians as exempt from overtime. Krenek failed to pay these employees time and a half for hours worked beyond 40 in a work week, a violation of the FLSA.

The Coloma, Michigan company sells and services recreational vehicles.

Quote: "The judgment is a win for these two technicians who will now receive the wages they rightfully earned and reaffirms that there is recourse under the law when your employer fails to compensate you for the hours you have worked," said Mary O'Rourke, district director for the Wage and Hour Division in Grand Rapids. "Employers have a responsibility to pay workers in accordance with labor laws. The Wage and Hour Division will take action when employers fail to do so."

Information: The FLSA requires that covered, nonexempt employees be paid at least the federal minimum wage of $7.25 per hour for all hours worked, plus time and one-half their regular hourly rates for hours worked beyond 40 per week. The FLSA provides that employers who violate the law are, as a general rule, liable to employees for their back wages and an equal amount in liquidated damages. Liquidated damages are paid directly to the affected employees. Additionally, the law requires employers to maintain accurate time and payroll records and prohibits retaliation against employees who exercise their rights under the law.

Court: U.S. District Court for the District, Western District of Michigan, Southern Division

Docket Number: 1:15-cv-00339 Perez v. Krenek Motors Inc. d/b/a Krenek RV and Scott Krenek