In 2013, Paul Johnson Drywall Inc. signed a contract with Arizona Tract for providing drywall labor. The Department of Labor filed a consent judgment in the U.S. District court for the District of Arizona, in reference to Paul Johnson Drywall Inc. has decided to assume full measurements to guarantee that miscommunication of its workers does not happen again and agreed to pay $556,000 in overtime back wages and that no more damages to 445 former and current employees. The company agreed to pay $44,000 in penalties (DOL, 2014). …show more content…
David Weil the administration for the wage and hour division this reveals their assurance to eliminating wrongful oppositions and pay policies, that results in employees not receive their right pay for ethical hard work. The department of wages and hour division in Phoenix was investigating construction contractors and investigators they discovered the drywall contractors violated the Fair Labor Standards Acts (FLSA) overtime and booking-keeping requirements. Individuals working in residential construction this would show positive change, in Arizona. Paul Johnson Drywall is a leader in the business, the investigators are glad to see that the company has taken an open stand toward the corrections of misclassifying, which deny susceptible employees of their wages, their rights, benefits, employee status and take away taxpayers of the payroll taxes. When misclassification occurs, everybody loses except the employer that misclassified (DOL,