Investigators from the Department of Labor ordered a San Diego air force contractor to pay $945,000 in back wages to 901 employees across the country.
General Atomics Aeronautical Systems, an unmanned aircraft and surveillance system manufacturer based in San Diego, violated federal wage requirements that government contractors must pay their workers the prevailing wage rates and fringe benefits in the geographic location they work according to the Dept. of Labor.
“Failing to pay the correct prevailing wages hurts workers, and it also negatively affects other contractors who pay proper wages,” said David Weil, administrator of the Wage and Hour Division in a statement. “We appreciate that General Atomics was cooperative throughout the investigation and immediately came into compliance. They also ensured that all employees working on their contracts were paid back wages once the issues were brought to their attention.”
According to the investigation, General Atomics paid employees who were required to work outside their home area wages for where they lived not where they were assigned to work as required by law. This often resulted in less pay.
General Atomics time clock system did not account for the location workers were assigned to work. They have since agreed to pay their workers the highest prevailing wage of all their job sites going back six years, and have updated their time clock to account for work location.