Inflated titles plus no overtime wages equal big fine
This clothing giant recently found out that adding manager to an employee’s title doesn’t mean you don’t have to pay that person overtime.
A recent investigation by the Department of Labor revealed that Levi Strauss & Co. misclassified its assistant store managers (and other administrative employees) as overtime exempt.
It required these employees to work off the clock, during late night closings, early morning openings and staffing shortages without compensation.
The company failed to record all hours worked in its payroll system over a two-year period.
As the a result of the investigation, Levi’s has to pay more than $1 million in overtime back wages to 596 workers, and upgrade its time and attendance system.
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