An investigation by the U.S. Department of Labor’s Wage and Hour Division found the operator of an RNR Tire Express franchise in Davenport, Iowa failed to include non-discretionary bonuses in the regular rate of pay when calculating overtime pay, a Fair Labor Standards Act violation. The employer also did not maintain timecards for hourly paid employees.
RNR Tire Express is a national franchise tire and custom wheel retailer with more than 180 U.S. locations.
The company paid a total of $33,846, representing $16,923 in back wages and an equal amount in liquidated damages for 11 employees.
“Inaccurate overtime calculations by
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