September 2, 2016
By Steven Wishnia and Neal Tepel
Cherry Hill, NJ – One of the nation’s largest trucking companies has agreed to pay more than $1 million in back wages to 357 workers it wrongly classified as exempt from overtime, under a settlement announced Aug. 25 by the U.S. Department of Labor’s Wage and Hour Division.
The division’s investigation of National Freight Inc. found that during 3½ years between 2012 and 2016, the company had illegally classified truck dispatchers as administrative workers, paying them a flat salary when they worked more than 40 hours in a week, and paid trailer-yard spotters their regular hourly rate when they worked overtime. NFI also failed to maintain required payroll records, it added. NFI, which has more than 8,000 workers and a fleet of more than 2,000 trucks, denied any wrongdoing, but agreed to reclassify the dispatchers and yard spotters and pay them proper overtime compensation in the future. “Every dollar counts for NFI employees who work long days to earn a living,” Wage and Hour Division administrator David Weil said in a statement. “The case’s resolution should send a strong message to other industry employers who may be denying overtime to workers in these positions.” Read more