INDIANAPOLIS — On Tuesday the U.S. Department of Labor's Wage and Hour Division (WHD) revealed the findings of Indiana automotive service chain, Best-One Tire, owes over $1 million in back wages and liquidated damages for over a thousand employees.
Best-One Tire Group is a nationwide tire service store based out of Monroe, Indiana. WHD investigated 203 of the groups stores operating in 24 states and found 835 employees were due $622,142 in overtime back wages. The wage violation occurred when the employer failed to include bonuses, commissions, incentive pay and shift differentials when determining overtime pay rates, according to the news release by the Department of Labor.
Investigations in 2017 and 2018 found that the group also paid employees paid overtime rates lower than those required by law. 13 investigations at this time found that Best-One owed 221 employees $218,486 in overtime back wages and $183,180 in liquidated damages for similar violations.
The group has agreed to pay back the $1,023,808 in overtime back wages and liquidated damages for 1,056 employees nationwide for violations of the Fair Labor Standards Act (FLSA).
The violations disclosed in these investigations are far too common. The U.S. Department of Labor’s Wage and Hour Division is committed to increasing knowledge and awareness of the laws so that employees receive all their hard-earned wages,” Patricia Lewis, Wage and Hour District Director in Indianapolis, said. “This employer cooperated during the investigations and is taking steps to ensure compliance at all of their locations. We encourage employers to contact WHD for guidance and compliance assistance.”
Best-One Tire Group has agreed to write a compliance article for a tire industry magazine and to conduct an FLSA audit for any new companies that join their chain, according to the Department of Labor news release.
In a statement responding to the Department of Labor, Best-One said any initial "non-compliance was unintentional," and they plan to cooperate with further investigation.
"For 70 years, Best-One has been committed to being the leading and most trusted provider of tires and services in all of our geographic markets. While we may sell tires, we serve people and we strive to live with integrity, character and passion. Our team members are our biggest fans, and we aim to make compensation and benefits rewarding and competitive."
WHD conducts outreach events for employers and industry stakeholders to provide information on both employers and employees legal rights and responsibilities.
Employers who discover overtime or minimum wage violations may self-report and resolve those violations without litigation through the PAID program.
For more information about the FLSA and other federal labor laws, click here.
