Sixty workers at a Livonia company are going to get more than $61,000 in back wages because it misclassified them as independent contractors, federal officials said Thursday.
Vision Link International LLC, which offers fleet productivity services to Metro Detroit businesses, denied those workers their full wages and benefits under federal law, the U.S. Department of Labor said. The employees inspect and pack parts for the company's clients.
Investigators with the department’s Wage and Hour Division determined the employer failed to pay the 60 hourly employees overtime at time and one-half of their rate of pay for working more than 40 hours per week.
The company also failed to keep accurate time and payroll records, did not issue 1099 forms to the workers and didn't withhold the required payroll and income taxes, according to the agency.
"When employers misclassify their employees as independent contractors, they deny them the wages and benefits they are due such as a minimum wage, overtime pay, and protections under the Family and Medical Leave Act," Timolin Mitchell, Detroit district director of the Wage and Hour Division. "Misclassification may also result in a higher tax burden on the employee and a reduced social security benefit. Regrettably, this violation has become all too common."
Company officials could not be reached for comment.
cramirez@detroitnews.
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