An Elkhart company will pay $55,484 in back pay after a Department of Labor investigation revealed they were not paying workers properly for overtime.
157 employees at The RV Factory will receive money in the settlement over unpaid overtime. Workers at the plant were legally entitled to time-and-a-half for hours worked over 40 in a week. The company was instead paying a flat daily rate.
Scott Allen is a spokesperson with the Department of Labor. “The important thing is that the RV Factory did agree to pay those backwages. We’re confirming them now.”
Allen said the department has a program where employers can have their wage practices investigated voluntarily. Any issues will be addressed without additional penalties.
He says the idea is to make sure workers get paid fairly and employers know the laws.