Goshen-based Interra Credit Union has been ordered to pay $37,812 in back overtime wages and damages to 34 employees following a federal Department of Labor investigation.
In a news release, the Department of Labor said an investigation found that Interra failed to include certain bonuses and commissions into overtime pay calculations for 34 mortgage loan advisors and loan originators, which violated the overtime requirements of the Fair Labor Standards Act.
The 34 employees were paid a salary plus commissions but did not meet the minimum salary and work requirements to be exempted from overtime pay obligations.
As part of the settlement, Interra paid $18,906 in overtime back pay and an equal amount in damages to the affected employees and agreed to change payroll practices and comply with overtime regulations in the future.
Interra Credit Union has 18 locations spread across Elkhart, Marshall, Kosciusko, LaGrange and Noble counties.
The Fair Labor Standards Act requires most U.S. employees to be paid at least the federal minimum wage of $7.25 an hour for all hours worked. Employees must also be paid overtime of at least time-and-a-half the regular pay rate for all hours worked over 40 hours every workweek.
Interra Credit Union is a financial supporter of WVPE.
Contact Jakob at jlazzaro@wvpe.org or follow him on Twitter at @JakobLazzaro.
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