US Labor Department investigation finds Tampa fire prevention company failed to pay employees overtime compensation, keep records

Employer name: Universal Fire Systems Inc.  

Investigation site: 374 Hobbs Road
Tampa, Florida 33619

Investigation findings: Investigators from the U.S. Department of Labor’s Wage and Hour Division found the employer violated overtime and recordkeeping provisions of the Fair Labor Standards Act.

Universal Fire Systems paid overtime-eligible employees fixed salaries, based upon a 40 hour workweek, without regard to how many hours they actually worked. When installers and technicians performed work before their scheduled shifts, the company did not keep records or pay workers for those hours. Many of these workers reported to the employer’s shop to load tools and equipment on their trucks before heading off to the first job site of the day. This practice created an overtime violation when the unpaid time pushed workers’ totals beyond 40 hours in a workweek, and no overtime premium was paid. The company also failed to maintain required time and payroll records.

Resolution: The employer will comply with the FLSA and pay 92 employees $112,435 in back wages.

Quote: “Simply paying employees a salary does not in itself mean they are not entitled to overtime,” said James Schmidt, the Wage and Hour Division’s district director in Tampa. “Overtime does not need to be approved by the employer in advance to be enforceable. If employees perform work, those hours must be recorded and paid for. We will continue our vigilant enforcement to ensure that workers like those in this case bring home every penny they have rightfully earned.”

Background: Universal Fire Systems installs, inspects and repairs commercial and industrial fire systems.

Information: The FLSA provides an exemption from both minimum wage and overtime pay requirements for individuals employed in bona fide executive, administrative, professional and outside sales positions, as well as certain computer employees. To qualify for exemption, employees generally must meet certain tests regarding their job duties and be paid on a salary basis at not less than $455 per week. The department recently issued a Final Rule that will update that salary level to $913 per week as of Dec. 1, 2016.

For more information about federal wage laws administered by the Wage and Hour Division, call the agency's toll-free helpline at 866-4US-WAGE (487-9243). Information also is available at http://www.dol.gov/whd/.