Policy: Labor

Limo service pays $500,000 to end overtime dispute

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News,Business,Labor unions,Labor

NEW HAVEN, Conn. (AP) — A Connecticut limousine company has agreed to pay $500,000 in back wages and damages to 183 drivers the U.S. Department of Labor says were denied overtime.

The department said Wednesday the settlement in U.S. District Court in New Haven resolves a lawsuit against S.D. Transportation Services LLC, doing business as Premier Limousine in Berlin, and owner Stephen DiMarco.

DiMarco said the drivers have been exempt from overtime for 30 years and work the hours that met their needs. He said despite Premier's defense and the fact that the law is unsettled, the company agreed to the settlement to end the matter.

Michelle Garvey, director of the Wage and Hour Division in Hartford, says such labor violations are common in the industry, prompting unannounced visits in Connecticut and Rhode Island by labor investigators.

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