Company Pays Back Wages, Damages and Penalties after Investigation

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As a result of a Wage and Hour investigation, Paul Johnson Drywall Inc., Prescott, Ariz., severed its relationship with Arizona Tract LLC., Phoenix, a construction labor contractor. Beginning April 2013, Paul Johnson Drywall entered into a contract with Arizona Tract for the provision of drywall labor. Arizona Tract classified former Paul Johnson Drywall workers as "member/owners" instead of employees, which stripped them of basic worker protections afforded to employees.  On May 19, the Department of Labor filed a consent judgment in the U.S. District Court for the District of Arizona by which Paul Johnson Drywall and its owner Robert Cole Johnson agreed to take concrete steps to ensure misclassification of the company's workforce does not happen again and to pay $556,000 in overtime back wages and liquidated damages to at least 445 current and former employees. The employer also agreed to pay $44,000 in civil monetary penalties. 


From NRCA

Trenton H. Cotney
Florida Bar Certified Construction Lawyer
Trent Cotney, P.A.
407 North Howard Avenue
Suite 100
Tampa, FL 33606
www.trentcotney.com

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