Facts

Labor Secretary Thomas Perez, filed a complaint against Alkanan Inc., dba Recycling Innovation dba Valley Recycling and Karim Ameri, for alleged Fair Labor Standards Act violations.

PLAINTIFF'S CONTENTIONS:
Plaintiff accused defendants of retaliating against its employees for engaging in activities protected under FLSA. Plaintiff also accused defendants of threatening employees with deportation, physical violence, and/or reduction in work schedule for cooperating with plaintiff's investigation in the matter. Plaintiff also accused defendants of obstructing the investigation by instructing its employees to provide false information. Moreover, plaintiff accused defendants of violating the minimum wage requirements by compensating new hires $55 per day or experienced employees of $60 or $65 per day, regardless of the number of hours worked. Plaintiff also alleged that defendants failed to pay overtime pay.

DEFENDANTS' CONTENTIONS:
Defendants neither admit nor deny plaintiff's allegations.

Result

The parties agreed to enter into a consent judgment. In it, defendants agreed to comply with FLSA and pay no less than the applicable minimum rate to its employees and to compensate them for any overtime at the applicable rate. Defendants also agreed to pay $38,000 in minimum wage and overtime pay and restitution, as well as $36,000 in liquidated damages. In addition, defendants were required to pay $3,014 in civil penalty.