US Department of Labor recovers $87K for 32 employees denied overtime, misclassified as independent contractors by Atlanta paint services company

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Employer:      

Atlanta United Interiors

265 18th St. NW 

Atlanta, GA 30318 

Investigation findings: The U.S. Department of Labor Wage and Hour Division found that Atlanta United Interiors, a painting contractor, misclassified 32 painters as independent contractors and paid the affected employees straight-time rates for all hours worked. By doing so, the employer denied workers their additional half-time rate for hours over 40 in a workweek, an overtime violation of the Fair Labor Standards Act. 

Back wages recovered: $87,333 in back wages for 32 workers                                           

Quote: “Ensuring proper classification of employees is not just about compliance. Misclassifying workers as independent contractors strips them of their rightful benefits and protections,” said Wage and Hour Division District Director Steven Salazar in Atlanta, Georgia. “Workers are entitled to the full extent of compensation and benefits afforded by law. We urge employers who do not understand the requirements to stay compliant with the laws to reach out to our office for answers.” 

Background: Atlanta United Interiors is a painting service company that launched in 2014 in Georgia. 

In Georgia, there are currently more than 7,000 workers owed more than $2.2 million recovered by the agency. Individuals can use the agency’s workers owed wages search tool to see if they are owed back wages collected by the agency. Workers who feel they may not be getting the wages they earned or are misclassified as independent contractors may contact a Wage and Hour Division representative in their state through a list and interactive online map on the agency’s website.

Employers can contact the Wage and Hour Division at its toll-free number, 1-866-4-US-WAGE (487-9243). The division also offers online resources for employers, such as a fact sheet on Fair Labor Standards Act overtime pay requirements. Workers and employers can help ensure hours worked and pay are accurate by downloading the department’s Android or iOS Timesheet App for free and available in English and Spanish. Learn more about the Wage and Hour Division.