Wage Violations Cost HVAC Contractor $122K in Back Pay
Key Highlights
- The Department of Labor recovered over $122,000 in back wages for Mississippi HVAC workers due to wage and overtime violations.
- The investigation emphasizes the importance of accurate payroll practices, especially regarding bonuses and incentive pay.
- Employers are encouraged to use resources like industry toolkits, opinion letters, and the PAID program to ensure compliance.
JACKSON, Mississippi — The U.S. Department of Labor recovered $122,476 in back wages for 140 workers after finding wage and overtime violations at a Mississippi HVAC contracting business.
According to the department’s Wage and Hour Division, AirSouth LLC, operating as AirSouth Cooling and Heating, failed to properly calculate overtime wages by excluding non-discretionary bonuses. The investigation also found the company did not issue final paychecks to two employees, in violation of the Fair Labor Standards Act.
The violations affected workers across the company’s operations, which include its headquarters in Mendenhall and a branch location in Greenville.
“The U.S. Department of Labor is dedicated to ensuring that workers receive the wages they have rightfully earned,” said Audrey Hall, Wage and Hour Division district director in Jackson, Mississippi. She added that the case serves as a reminder for employers to review and assess pay practices to prevent violations.
For HVAC contractors and business owners, the findings highlight the importance of accurate wage calculations, particularly when bonuses or other incentive pay are involved in overtime determinations. Missteps in payroll practices can result in significant financial penalties and compliance risks.
The Wage and Hour Division encourages employers to use its compliance assistance resources, including industry-specific toolkits, opinion letters, and guidance on wage and hour laws. The agency also offers a voluntary Payroll Audit Independent Determination (PAID) program, which allows employers to self-report and resolve potential minimum wage and overtime violations.
Employers and workers can contact the division’s toll-free helpline for assistance and access additional tools, including a timesheet app designed to track hours and pay.