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August 02, 2006
Dept. of Labor Says BMW's FLSA Compliance Needed Tune-Up

BMW has agreed to pay $629,869 in overtime back wages to 1,224 workers in Spartanburg, South Carolina, to settle a Department of Labor lawsuit alleging violations of the Fair Labor Standards Act.

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In the lawsuit, the department alleged that the company failed to pay automobile body and paint shop workers for time spent donning and doffing required safety gear and for time spent walking to and from work stations.

The department said the company's practice resulted in uncompensated overtime hours. The period covered in the settlement is between April 2003 and March 2006.

The company agreed to pay the back wages due and comply with the provisions of the FLSA in the future. Under the settlement, the back wages are to be paid within 90 days.

For more information on what time is compensable under the FLSA, see the Hours of Work section of Compensation.BLR.com.

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