Service King Manufacturing to Pay $393,000 in Back Wages

Service King Manufacturing Inc. in Stroud has agreed to pay $393,497 in back wages after an investigation by the U.S. Department of Labor’s Wage and Hour Division found 239 current and former welders, painters, machinists, janitorial workers, non-exempt supervisors and support personnel did not receive minimum wage and overtime pay as required by the Fair Labor Standards Act.

The investigation, covering the period from March 11, 2006, to March 9, 2008, determined that Service King Manufacturing failed to pay its machinists, who were working on oil field service rigs, time and one-half their regular rates of pay for hours worked over 40 in a workweek. Additionally, the company failed to keep adequate payroll records.

Service King cooperated with the investigation and has agreed to future compliance with the law. Back wages have been paid in full.

The FLSA requires that covered employees be paid at least the federal minimum wage for all hours worked, plus time and one-half their regular rates of pay for hours worked more than 40 per week, unless otherwise exempt. Employers must also maintain accurate time and payroll records.



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