Otay Mesa company to pay employees $135K for minimum wage, OT violations

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Judges gavel on top of a stack of money and sounding block.

SAN DIEGO (CNS) – An Otay Mesa company that paid its employees below minimum wage has reached a settlement with the U.S. Department of Labor to pay the employees nearly $135,000 in back wages, the department announced Thursday.

G-Global will pay 61 Mexican national employees $124,465 for violating the Fair Labor Standards Act by paying them below minimum wage in pesos, according to the U.S. Department of Labor.

The company will also pay $10,456 for overtime violations toward 59 employees, who were paid flat salaries regardless of how many hours they worked per week, according to the agency.

The Department of Labor said similar violations “appear to be widespread in the industry” among warehouse companies situated along the border.

“We recommend other warehouse employers along the border work with us to ensure employees are paid at least the minimum wage for the hours they work at facilities in the United States,” said Wage and Hour District Regional Director Ruben Rosalez. “We encourage them to come forward and to participate in our PAID (Payroll Audit Independent Determination) program to get themselves into compliance, while avoiding the expenses that could arise through litigation. We also urge employees to use our Workers Owed Wages online tool to see if the Wage and Hour Division is holding money due to them as a result of this case or any other of the agency’s investigations.”

The Department of Labor’s Wage and Hour Division advised employers who discover overtime or minimum wage violations that they can self-report and resolve violations without litigation through the PAID program. Information on the program is available at dol.gov/agencies/whd/paid.

Further information on the Fair Labor Standards Act and other laws enforced by the Wage and Hour Division can be found by calling 866-4US-WAGE.

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