Memphis-based Defense Systems Group, Inc., has paid $103,910 in back overtime
wages to 67 employees after the U.S. Department of Labor accused the company
of violating the Fair Labor Standards Act by paying armed security guards a
bonus at their regular rate of pay for overtime hours worked.
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Download NowThe FLSA requires that employees receive time and one-half their regular rate
of pay for hours worked beyond 40 per week.
According to the DOL's Wage and Hour Division, the company cooperated with
the investigation, paid the back wages, and has agreed to full compliance in
the future.
The division recovered more than $212 million in back wages in fiscal year
(FY) 2003, a 21 percent increase over the record-setting amount of FY 2002.