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January 06, 2006
Plumbing Firm Accused of Clogs in FLSA Compliance

More than 1,000 employees of a Corona, California-based plumbing company will receive $900,000 in back wages following an investigation by the U.S. Department of Labor's Wage and Hour Division.

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Investigators alleged that Executive Plumbing failed to properly record work hours and calculate overtime pay.

The Wage and Hour Division says that Executive Plumbing paid employees on a piece-rate basis that did not track total hours worked. The system also did not establish a regular rate of pay for overtime calculations or include certain production bonuses as part of base pay when figuring overtime, according to investigators. The department says the law allows a piece-rate system if it is implemented correctly.

Executive Plumbing specializes in plumbing installation for new housing construction. Employees, who worked out of company offices in Corona , San Diego , Palm Springs and Las Vegas , will receive the back pay for work performed between January 2003 and January 2005.

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