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October 13, 2005
NASCAR Racecar Builder Gets Black Flag over OT

Hendrick Motorsports has agreed to pay $351,783 in back wages to 214 employees after the U.S. Labor Department's Wage and Hour Division accused the company of violating the overtime provisions of the Fair Labor Standards Act (FLSA).

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The company designs and builds NASCAR racing cars at its Charlotte, North Carolina, facility.

The department's Wage and Hour Division alleged that between July 2003 and July 2005, the company failed to pay salaried production workers--assemblers, fabricators and mechanics--overtime when they worked more than 40 hours in a work week.

The company cooperated with Wage and Hour investigators and agreed to future compliance with the FLSA, according to the department.

The FLSA requires that employers pay covered non-exempt workers one-and-one half times their regular rate of pay for all hours worked over 40 in a single work week.

The Wage and Hour Division recovered nearly $200 million in back wages in fiscal year 2004 for more than 288,000 workers.

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