Melrose Company to Pay More Than $93,000 to Settle Claims it Violated State Minimum Wage, Overtime and Child Labor Laws
BOSTON - A Melrose company will pay more than $93,000 in restitution and penalties to resolve allegations it failed to comply with the state’s minimum wage, overtime, and child labor laws, Attorney General Martha Coakley announced today.
Beginning in February 2011, the Attorney General’s Office received several complaints from former employees of True Power, LLC (True Power) alleging that they were not being paid minimum wage or overtime for hours worked over 40 in a work week. These employees sold “negative ion” bracelets at multiple mall kiosks and received only commissions on their sales. These commissions were not sufficient to meet the statutory minimum wage or overtime requirements.
The Attorney General’s investigation also revealed that some employees were minors working without permits and beyond allowable hours. The Massachusetts Child Labor Laws include restrictions on both the occupations in which minors may be employed, as well as the hours during which they may work.
Under the terms of the settlement agreement, True Power will pay restitution to 165 former employees as well as a penalty to the Commonwealth.
The Attorney General’s Office is responsible for enforcing the laws regulating the payment of wages, overtime and misclassification of employees in the Commonwealth. Workers who believe that their rights have been violated are strongly urged to call the AG’s Fair Labor Hotline at (617) 727-3465. More information about the state’s wage and hour laws is also available in multiple languages at the AG’s Workplace Rights website: www.massworkrights.com. Further information about youth employment may also found at www.mass.gov/ago/youthemployment.
The matter was handled by Assistant Attorney General Lisa Price, and was investigated by Inspector Leah Lucier, both of AG Coakley’s Fair Labor Division.