Life Time Fitness Owes Nearly $1M In Back Wages
Life Time Fitness, a Minnesota-based company has agreed to pay nearly one million dollars to employees nationwide.
Life Time Fitness Inc., a subsidiary of the Healthy Way of Life Company, violated federal minimum wage requirements in 26 states. The company will have to pay $976,765 in total as compensation. Employee back wages totaled $488,229 and the same amount in liquidated damages will also have to be paid, according to a release from the U.S. Department of Labor.
The company had taken deductions from employees for uniform costs, but the deductions resulted in the employees making less than the federal minimum wage per hour, according to the release.
“While employers are allowed to take deductions for the cost of uniforms, those deductions cannot bring an employee’s earnings below the federal minimum wage,” said David King, the director for the Wage and Hour Division in Minneapolis.
In addition, Life Time Fitness must pay $99,825 for violating the Fair Labor Standards Act. The company also must conduct formal training with general managers who hire, oversee, manage and develop employment and pay practices on FLSA requirements at all locations nationwide.
Investigators from the U.S. Department of Labor found violations at the Fridley, Lakeville, and Roseville, Minnesota locations.