U.S. Department of Labor Investigation Results in Florida Golf Cart Retailer Paying $62,413 in Back Wages and Damages

HUDSON, FL – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Affordable Golf Carts Inc. – based in Hudson, Florida – has paid $62,413 in back wages and liquidated damages to 20 current and former employees for violations of the overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

WHD investigators found that Affordable Golf Carts Inc. violated the overtime provision of the FLSA when it paid employees at their straight time rates, in cash, for any hours they worked beyond 40 in a workweek, instead of paying overtime at time-and-one-half for the overtime hours, as the law requires. The employer also failed to record any of the overtime hours, resulting in FLSA recordkeeping violations.

"Paying employees in cash off the books does not relieve employers of their responsibility to pay employees the wages they have legally earned," said Wage and Hour Division District Director James Schmidt, in Tampa, Florida. "The Department of Labor remains committed to educating employers and employees about their rights and responsibilities so that violations can be avoided, and that employers compete on a level playing field. We hope that other employers use the resolution of this case as an opportunity to review their own payroll practices, and to make any corrections necessary to come into compliance."

For more information about the FLSA and other laws enforced by the Wage and Hour Division, call the 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 https://www.dol.gov/whd.