The Department of Labor has ordered an oilfield services company based in North Dakota to pay about $1.2 million in back wages after paying some employees extra wages according to the length of casing they’d installed.
About $100,000 of the settlement goes to Wyoming workers.
Wyoming Casing Service Inc. was originally formed in Wyoming before moving its headquarters to Dickinson, North Dakota. The settlement, reached following an investigation by the U.S. Department of Labor’s Wage and Hour Division, affects 112 employees in Gillette, 33 employees in Cheyenne and 28 employees in Rock Springs.
The department found that Wyoming Casing had paid minimum wage and overtime “for most hours that employees worked,” according to a department press release. However, some workers were paid extra for each foot of casing installed. But the pay-per-foot calculation ended up shorting employees for the overtime they had worked, violating overtime and record keeping requirements, according to the department.
The department’s Wage and Hour’s Division will be providing training to management at the company, the division’s district director Chad Frasier said in a statement.
The employees involved had filed a collective and class action lawsuit in North Dakota. Both parties agreed that the lawsuit should be stayed until January as they attempted to reach a settlement, according to court documents.
The department’s investigation into the unpaid overtime covered Wyoming Casing Service crews in Wyoming, Colorado, North Dakota, Ohio, Pennsylvania and West Virginia. The settlement orders back pay for 275 employees at nine locations across the six states.