Not So Fondly Recollected

Roofer Unforgettable Coatings and its Final Touch painting subsidiary have agreed to pay the U.S. Department of Labor (DOL) $3.6 million for falsifying pay records, not paying overtime, having employees work on weekends without pay, and intimidating those employees who dared to complain about their illegal practices.  The citations involved hundreds of workers in Arizona, Nevada, Utah, and Idaho.

As in many such cases, it was workers’ rights advocates – in this case, International Union of Painters and Allied Trades and Arriba Las Vegas Worker Center – that brought the problems to the DOL’s attention after some of the mistreated employees contacted them.

The DOL claimed that with its investigation pending Unforgettable owner Cory Summerhays retaliated, cutting pay and reducing hours for workers who cooperated with the government.

After the DOL obtained a court order prohibiting management from continuing such actions, Summerhays and his companies settled with the agency for:

• $3.6 million in back wages and liquidated damages for 593 employees, including $1,809,249.77 and an equal amount in liquidated damages;
• $50,000 in civil penalties for willful violations; and
• $18,092 in interest

The court-approved agreement also contains a permanent order for these employers to properly calculate and pay overtime, to allow employees to discuss pay, and to comply with numerous other federal employment law requirements.

Take-Aways: Employers need to treat their employees fairly and always comply with legal standards for wages and hours of work. They must not retaliate against workers for asserting their rights to proper pay and treatment.

For further information, please contact Tim Bowles, Cindy Bamforth or Helena Kobrin.

See also:

• Handbook Helper Episode 20 – Overtime Policy Burning the Midnight Oil (March 9, 2023)
• Cautionary Tale Episode 64 – Dept. Of Labor Half-Million Assessment Against Four California Care Homes- Feds Target Caregiving Industries (March 3, 2023)
• The Basics of Overtime –  Five Rules for California (April 27, 2018)

Helena Kobrin
March 17, 2023