CORRECTED: U.S. Department of Labor Investigations Result in San Diego-Area Massage Parlors Paying $61,317 to Resolve Wage Violations

SAN DIEGO, CA – Two San Diego-area massage parlor companies – Yuanjun International Inc. and Rama Thai Massage – will pay 17 employees a collective $61,317 after U.S. Department of Labor Wage and Hour Division (WHD) investigations found violations of the Fair Labor Standards Act (FLSA).

Yuanjun International Inc. – doing business as Massage Eden – erroneously classified its employees as independent contractors, failed to pay the minimum wage for all hours worked, failed to pay overtime, and failed to keep accurate payroll records at three facilities in San Diego County. The company will pay 13 employees a total of $46,555 in back wages.

Separately, FLSA violations were found at two Rama Thai Massage facilities in San Diego and La Jolla. Four employees of Rama Thai Massage will receive a total of $14,762 in back wages.

"The U.S. Department of Labor is committed to ensuring employees receive all wages they have rightfully earned, and encourages all employers to review their pay practices to make certain all employees are classified and paid correctly," said WHD District Director Rodolfo Cortez in San Diego. "We urge all employers to make use of the many tools the Department provides to help them understand and comply with the law, and to call us for assistance"

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). Employers who discover overtime or minimum wage violations may self-report and resolve those violations without litigation through the PAID program.  Information is also available at www.dol.gov/whd including a search tool to use if you think you may be owed back wages collected by WHD.

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Editor's Note: This news release corrects the number of employees owed back wages and a description of the masssage parlors.