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Hotel agrees to pay more than $117K in back wages
Saipan Hotel Corp., which operates the Grandvrio Resort, has agreed to pay $117,000 in back wages to 84 employees, according to the Wage and Hour Division of the U.S. Department of Labor.
In a statement yesterday, the division said the company has also agreed to develop a compliance action plan to ensure adherence to the Fair Labor Standards Act in the future.
The investigation findings showed that the employer failed to meet the required minimum wage and overtime requirements of the FLSA by not paying housekeepers, servers, and maintenance and office workers for all the hours they worked. The firm did not pay for time worked before and after scheduled shifts or for work performed during meal breaks.
Investigators from the Wage and Hour Division also found that several salaried management workers were incorrectly categorized as “exempt” from overtime requirements for hours worked beyond 40 in a workweek. These workers did not receive at least the minimum guaranteed salary of $455 per week required for the overtime exemption to apply.
“An employer cannot pay workers only for the hours they believe should have been worked, but must pay for the hours actually worked,” said Terence Trotter, the division’s district director in Honolulu. “We appreciate this employer’s full cooperation and their compliance will not only benefit their employees but levels the playing field for law abiding employers.”
Grandvrio Resort used to be the Hafadai Beach Hotel before the name change on April 1, 2015.
