IRVONA – Kimberly Contracting in Irvona has been cited by the U.S. Department of Labor for violating the wage and fringe benefit provisions of the McNamara-O’Hara Service Contract Act (SCA).
The SCA requires contractors and subcontractors performing services on contracts in excess of $2,500 to pay service employees no less than the wage rates and fringe benefits – which include vacation, holidays, and health and welfare – found prevailing in the locality.
“Contractors have a legal responsibility to pay workers the proper wages and benefits,” said John DuMont, district director of the Pittsburgh office of the department’s Wage and Hour Division. “This case reiterates the importance of companies complying with federal wage and hour laws.”
An investigation conducted by the Wage and Hour Division determined that Kimberly Contracting, operated by Ronald A. Kimberly, did not pay six mail haul employees the proper prevailing wage and fringe benefits on three postal service contracts, resulting in a total of $95,520 in back wages due to the employees. The company also did not maintain proper records as required by law.
Kimberly Contracting was under contract to the U.S. Postal Service to transport mail. The company has agreed to pay the back wages found due.
For more information about the SCA, call the Wage and Hour Division’s toll-free helpline at 866-4US-WAGE (487-9243) or visit online.