US Department of Labor recovers $33K in back wages, damages for 11 employees of tire shop that miscalculated overtime wages

Employer:      RNR Tire Express

                       1510 E Kimberly Road                     

                        Davenport, IA 52807     

Investigation findings: An investigation by the U.S. Department of Labor’s Wage and Hour Division found the operator of an RNR Tire Express franchise in Davenport failed to include non-discretionary bonuses in the regular rate of pay when calculating overtime pay, a Fair Labor Standards Act violation. The employer also did not maintain timecards for hourly paid employees.

RNR Tire Express is a national franchise tire and custom wheel retailer with more than 180 U.S. locations. 

Resolution: The company paid a total of $33,846, representing $16,923 in back wages and an equal amount in liquidated damages for 11 employees. 

Quote: “Inaccurate overtime calculations by employers are among the most common violations found by our investigators. Employers unsure of how to determine an employee’s rate of pay for overtime purposes should contact the Wage and Hour Division for assistance or and visit the overtime compliance assistance webpage we offer,” explained Wage and Hour District Director Marietta Taylor in Des Moines, Iowa.

Background: Learn more about the Wage and Hour Division, overtime pay, a search tool to use if you think you may be owed back wages collected by the division and how to file an online complaint. For confidential compliance assistance, employees and employers can call the agency’s toll-free helpline at 866-4US-WAGE (487-9243), regardless of where they are from.

Download the agency’s new Timesheet App for iOS and Android devices – also available in Spanish –to ensure hours and pay are accurate.