Myrtle Beach-based roofing company to pay nearly $156k in back wages after investigation

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MYRTLE BEACH, SC (WBTW) – A Myrtle Beach-based roofing company has been ordered to pay nearly $156,000 in back wages after an investigation by the U.S. Department of Labor.

Following an investigation by the US. Dept. of Labor’s Wage and Hour Division, Monarch Co. will pay $156,346 in back wages to 84 for employees for “violating overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA),” according to a press release from the Dept. of Labor. Monarch Co. is based in Myrtle Beach and operates as Monarch Roofing.

The release also said, in part:

WHD investigators determined the employer incorrectly classified 81 salaried employees as exempt from overtime, paying them flat salaries without regard to the number of hours they actually worked. This practice resulted in overtime violations when the employees worked more than 40 hours in a workweek, but were not paid overtime. Monarch Co. also failed to pay three hourly employees additional half-time when they worked more than 40 hours in a workweek, as required. Investigators also found the commercial and residential roofing company failed to include employees’ non-discretionary bonuses when they did calculate and pay overtime. Excluding these amounts resulted in the employer paying overtime at rates lower than those required by law.

“The firm also failed to keep time records for the salaried workers, resulting in recordkeeping violations under the FLSA,” the release also said.

“Employers must familiarize themselves with their obligations to ensure they pay workers the wages they have legally earned,” said Wage and Hour Division District Director Jamie Benefiel. “The U.S. Department of Labor encourages employers to contact us if they have questions about overtime compliance for their hourly and salaried employees. We offer a wide variety of compliance assistance tools and stand ready to help employers. Violations like these can be avoided.”

Monarch Roofing released a statement on Tuesday, saying:

“The Department of Labor report is accurate when reporting that we unknowingly violated the Fair Labor Standards Act. However, no penalties or fines were filed, just the promise to pay back wages. This by no means is a lawsuit. In the investigation we presented our payroll structure that we believed to include overtime, but the Department of Labor disagreed. The DOL reclassified our employees resulting in the back wages. We have since adapted the recommendations of the DOL to be compliant. At Monarch Roofing we are committed to having a great employment culture and playing a large role as a steward to our community.”

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