U.S. Department of Labor Finds Unintentional Software Error Caused Underpayment of Benefits by Company to Employees

FORT WALTON BEACH, FL – A recent U.S. Department of Labor Wage and Hour Division investigation of Alabama-based government contractor InfoPro Corp., found an unintentional software glitch caused employee health and welfare benefits to be underpaid from July 1, 2015, to Sept. 30, 2016. Division investigators determined that InfoPro owed $126,329 in health and welfare benefits to 84 employees covered by the Service Contract Act (SCA).

InfoPro recognized the error, and immediately agreed to pay the benefits to the affected workers.  To avoid future violations and ensure compliance with the SCA, InfoPro implemented a process for a human resources representative to prepare the pay records, while a representative in the accounting department reviews the compiled data, acting as a failsafe. The new process has proven effective in eliminating payroll errors due to software mistakes.

InfoPro contracts with federal and state agencies to provide engineering and tests operations, cybersecurity and IT services, range operations and maintenance, ordnance services, and training and security services to federal and state agencies.

For more information about the FLSA and other laws enforced by the Wage and Hour Division, contact the Division’s toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at http://www.dol.gov/whd, including a search tool to use if you think you may be owed back wages collected by WHD.