A federal agency determined Giant Company shorted approximately 3,300 essential supermarket workers in four states more than $165,000 in overtime pay due to a miscalculation of overtime rates.
The U.S. Department of Labor said Giant ignored lump sum bonus payments made to the workers when calculating their overtime rates during the COVID-19 pandemic, resulting in the shortage.
The 3,314 affected workers were employed in 192 stores in Pennsylvania, Maryland, Virginia, and West Virginia, the department said.
The department’s Wage and Hour Division found that Giant increased workers’ hourly rates $2 per hour from March 2020 through May 2020 and calculated overtime correctly. In May 2020, the employer decreased the hourly wage by $2 and began paying lump sum bonuses instead.
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