Plumbing supply company pays $3.2M to escrow for more than 700 employees, cannot retaliate against employees who exercise rights after federal investigation, litigation

Summary:

The U.S. Department of Labor has recovered over $3.2 million in overtime back wages for over 700 sales representatives of F.W. Webb Co., a Bedford, Massachusetts-based plumbing supply company. The court ruled that the employer misclassified the employees as exempt from overtime under the Fair Labor Standards Act (FLSA) and failed to pay them overtime wages since August 2018. The company has agreed to pay the back wages, as well as refrain from retaliating against employees who exercise their rights to raise wage complaints. The court's decision is a victory for employees' rights and upholds the FLSA's protections against employers misapplying the law's administrative exemption.