Carnival Market Agrees to $192,500 Settlement Over Unpaid Wages Following Federal Investigation

PONTIAC, MI — Big News for Employees at Local Market!

In a recent turn of events that has both shocked and relieved many, an Oakland County supermarket, known as Carnival Market, has agreed to dish out a whopping $192,500 to settle claims related to unpaid wages and other penalties. This comes after an investigation by the U.S. Department of Labor uncovered some serious misconduct, making it clear that the market wasn’t playing fair with its workers.

Overtime Pay Problems

Reports indicate that between 2021 and 2023, Carnival Market was involved in some questionable practices when it came to paying employees, particularly regarding overtime pay. Federal officials stated that the market illegally denied several workers their rightful overtime and even went so far as to demand that some of these employees return their back pay. Talk about adding insult to injury!

A Closer Look at the Settlement

The agreed-upon settlement will see the market pay $91,250 in back wages to 12 employees who were affected by these violations. Additionally, an equal amount will be paid as liquidated damages, plus another $10,000 in other penalties. It looks like Carnival Market will be dipping deep into their pockets to make things right!

Compliance is Key

As part of the settlement deal, the market is also required to take steps to ensure that this doesn’t happen again. This includes auditing and verifying its current compliance with federal wage regulations, providing records to the Wage and Hour Division for at least two years, and even giving Fair Labor Standards Act training to its managers. They’ll also have to post information regarding employees’ federal rights for everyone to see. Sounds like they’ve got some serious homework ahead!

a History of Wage Violations

But that’s not all. Carnival Market was already on thin ice, having agreed to pay back wages to 14 employees in 2020 for wage violations dating back to 2018. After that settlement, things only got worse. Federal officials revealed that the operators of the market, Jason and Chris Aviar, allegedly threatened employees and made them return their rightful wages if they refused to cooperate with the company. It’s no wonder the feds got involved!

Why This Matters

The impact of wage theft isn’t just about the money; it can ripple through the entire economy! According to Timolin Mitchell, District Director of the Wage and Hour Division, “Employers who shortchange their workers also harm local economies by reducing the amounts workers can spend day-to-day.” The idea is simple — when workers aren’t paid fairly, it affects their ability to spend, thus impacting local businesses as well.

What’s Next?

With all these changes coming to Carnival Market, it will be interesting to see how they adjust to ensure compliance with the law and protect their employees moving forward. Workers are encouraged to speak up about any wage concerns, as the authorities are ready to take action. No one should have to live in fear of losing their job just for asking to be paid fairly!

So, for those working at local businesses, remember that your rights matter. Be sure to keep an eye on your paychecks, and don’t hesitate to reach out if something doesn’t add up!