After an investigation by the U.S. Department of Labor's Wage and Hour Division, Memphis, Tenn.-based Mahaffey Tent and Awning Co. Inc., which operates under Mahaffey Fabric Structures, has paid $133,285 in back wages and fringe benefits to 28 current and former workers employees.
According to the investigation, the company failed to uphold requirements of the McNamara-O'Hara Service Contract Act and the Contract Work Hours and Safety Standards Act.
"Taxpayers have a right to expect that federal contractors who are paid with tax dollars will comply with the law," says Cynthia Watson, regional administrator of the Wage and Hour Division in the Southwest. "The Labor Department will not allow companies to abuse that trust. We will continue to use all enforcement tools available to ensure that employees are paid what they have rightfully earned and to ensure a level playing field for employers. Companies who play by the rules must not be placed at a disadvantage to those who do not."
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