Hotel Charged With Violating Minimum Wage Requirements for Housekeepers
Cleaners were paid per room rather than per hour
July 19, 2021
An investigation by the U.S. Department of Labor (DOL) found that NJ Hospitality LLC, operator of a Days Inn hotel in Fayetteville, North Carolina, violated the Fair Labor Standards Act by failing to pay housekeepers minimum wage.
The hotel paid housekeepers based on the number of rooms they cleaned or tasks they accomplished. However, this pay method caused the average hourly wage of several housekeepers to fall below the federal minim wage of US$7.25. Investigators with the DOL’s Wage and Hour Division also determined the employer paid straight time to employees, instead of required time-and-a-half overtime wages, when they worked more than 40 hours in the workweek.
As a result of the investigation, 18 Days Inn workers recovered $67,556 in back wages.
“These essential workers deserve to be paid all the wages they legally earned,” said Wage and Hour Division District Director Richard Blaylock in Raleigh, North Carolina. “Employers cannot make deals with their employees that fail to comply with the law, even if both parties agree to the terms. Workers cannot waive their rights to be paid minimum wage and overtime as the law requires. We encourage employers to use our resources or contact us with their questions to avoid violations like those found in this case.”
The DOL Wage and Hour Division offers a search tool for employees who believe they may be entitled to back wages.
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