Texas Hotel Reprimanded for Wage Violations, Must Repay Employees

A DoubleTree hotel in Richardson, Texas has been cited by the U.S. Department of Labor for violating federal wage and hour laws. After an investigation into the hotel, the Department of Labor determined that the hotel violated the Fair Labor Standards Act, with specific violations regarding minimum wage, overtime pay and financial bookkeeping.

More than 100 employees are affected in the investigation, most of whom were low-wage employees. They were either not paid the appropriate amount of money given the amount of time they worked; deducted income for taking a lunch break, even though a lunch break may not have been taken; and discrepancies in the actually hourly wage that was accredited to the employees, which were usually below the federal minimum wage requirement.

As a result, the Double Tree will pay 112 employees a little more than $102,000 in back wages. In addition, the hotel will be closely watched by the Department of Labor. Their wage and hour records will be highly scrutinized in the coming months and years.

Sadly, this is a not-so-uncommon occurrence for low-wage employees. Many businesses will take advantage of such workers and attempt to pay them well below the legal standard. That lost pay cushions their bottom line -- which is rarely needed. But for the affected employee, that lost income can be crucial.

Low-wage employees aren't the only ones taken advantage of, though. Direct deposit banking can leave an employee blind to how their wage or salary is being handled. Discrepancies on a paycheck may be missed. No matter what your job is, your employer must uphold federal wage and hour laws.

Source: CBS Dallas / Fort Worth, "Dispute Ends With North Texas Hotel Paying Employees $102K," Nov. 14, 2012