Dept. of Labor Recovers $96,511 for Arkansas Tire Shop Employees

After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Rental Concepts LLC has paid $96,511 in back wages to 239 employees to resolve systemic violations of the Fair Labor Standards Act overtime provisions.

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SPRINGDALE, AR — After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), Rental Concepts LLC — doing business as RNR Tire Express in Springdale, Arkansas — has paid $96,511 in back wages to 239 employees to resolve systemic violations of the Fair Labor Standards Act (FLSA) overtime provisions. The employer also violated the Family Medical Leave Act (FMLA) recordkeeping provisions.

WHD investigators found the employer violated FLSA overtime requirements when it failed to include monthly sales commissions and production bonuses earned by employees in addition to their hourly pay when calculating overtime rates for account managers, salesmen, and shop technicians. Additionally, while the company provided medical leave for employees, it failed to provide notice to its employees regarding the Family Medical Leave Act (FMLA), as required.

"This case is a good example of how seemingly small mistakes in payroll can add up quickly and violate the FLSA," said Wage and Hour Division District Director Hanz Grünauer, in Little Rock. "The U.S. Department of Labor offers many tools and resources to employers to increase compliance. Employers should take advantage of these resources."

The Department provides numerous resources and tools to help employers understand their responsibilities and comply with federal law, such as online videos, confidential calls, or in-person visits to local WHD offices.

Employers who discover overtime or minimum wage violations may self-report and resolve those violations without litigation through the PAID program. For more information about the FLSA, FMLA, and other laws enforced by the Division, contact the toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at www.dol.gov/whd including a search tool for workers who may be owed back wages collected by WHD.

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