2 companies accused of violating overtime law

Falcon agreed to pay employees who are owed overtime.

YOUNGSTOWN — The U.S. Department of Labor has filed lawsuits against Falcon Transport Co. and Comprehensive Logistics Inc., both of 650 N. Meridian Road, in U.S. District Court, saying the firms violated the federal overtime payment law.

The nearly identical suits filed earlier this week said the firms violated the Fair Labor Standards Act of 1938, which requires that most employees be compensated at the time-and-a-half rate for any hours they work beyond 40 per week.

Certain management and highly educated professional employees are exempt from the act’s overtime payment requirement.

The suits did not say how many workers are affected by the violations, how many employee work hours were improperly compensated, and how much money is collectively owed to the workers, but they say the violations had been occurring since December 2003.

In agreements signed Tuesday by DOL and company lawyers, the company lawyers waive any defenses to the complaint; deny that any violations were willful, deliberate or repeated; and agree to a judge’s order granting the relief sought in the complaint.

In an order filed Thursday in the Falcon case and signed by lawyers for both parties, U.S. District Judge Peter C. Economus in Youngstown permanently barred the company from violating the Fair Labor Standards Act’s overtime payment provisions, ordered the company to pay overtime due each employee listed in the parties’ settlement agreement, and ordered the company to keep proper wage and hour records.

The judge also said he was making no finding that the company wilfully, deliberately or repeatedly violated the federal act.

Dan Gold, Falcon’s human resources director, did not return a call seeking comment Thursday.