US Department of Labor recovers $151K in back wages, damages for 64 guards at Northville, Michigan, security company

US Department of Labor recovers 1K in back wages, damages for 64 guards at Northville, Michigan, security company

Employer:      Koda Group Inc.

                        200 North Center St.

                        Northville, MI

Actions:          Fair Labor Standards Act consent judgment

Court:             United States. District Court for the Eastern District of Michigan              

Investigation findings: On Feb. 8, 2024, United States. District Judge Matthew Leitman of the Eastern District of Michigan entered a consent judgment and order requiring Koda Group Inc. and owner and president Timothy Gilbert to pay a total of $151,208 – $75,604 in back wages and an equal amount in liquidated damages – to 64 security guards. Filed in conjunction with a complaint, the consent judgment follows an investigation by the United States. Department of Labor’s Wage and Hour Division alleging FLSA violations. 

Specifically, division investigators found the employer did the following:

  • Misclassified security guards as independent contractors when they were actually employees.
  • Paid the guards a flat-rate for all hours worked and failed to pay time and one-half their hourly rate for hours over 40 in a workweek.
  • Failed to post a notice explaining the FLSA in a conspicuous location. 

In addition to agreeing to pay back wages in monthly installments through Nov. 1, 2024, the company agreed to provide all employees with federal wage protections and to maintain accurate payroll records. 

Quote: “Koda Group created schedules for its security guards who performed work necessary for their employer’s business; assigned them work tasks and required them to followed detailed policies and procedures. These factors are among those that define them as employees and not independent contractors in control of their own work schedules and jobs,” explained Wage and Hour  District Director Timolin Mitchell in Detroit.” “Workers misclassified as independent contractors are denied their protections under the Fair Labor Standards Act and employers do not pay applicable employment taxes or workers’ compensation on their behalf.” 

Background: Learn more about the Wage and Hour Division, including a search tool to use if you think you may be owed back wages collected by the division and how to file an online complaint. For confidential compliance assistance, employees and employers can call the agency’s toll-free helpline at 866-4US-WAGE (487-9243), regardless of where they are from.

Download the agency’s new Timesheet App for iOS and Android devices – also available in Spanish –to ensure hours and pay are accurate.

United States Department of Labor v. Koda Group Inc.

Case number  2:23-cv-13183-MFL-DRG 

Disasters Expo USA, is proud to be supported by Inergency for their next upcoming edition on March 6th & 7th 2024!

The leading event mitigating the world’s most costly disasters is returning to the Miami Beach

Convention Center and we want you to join us at the industry’s central platform for emergency management professionals.
Disasters Expo USA is proud to provide a central platform for the industry to connect and
engage with the industry’s leading professionals to better prepare, protect, prevent, respond
and recover from the disasters of today.
Hosting a dedicated platform for the convergence of disaster risk reduction, the keynote line up for Disasters Expo USA 2024 will provide an insight into successful case studies and
programs to accurately prepare for disasters. Featuring sessions from the likes of The Federal Emergency Management Agency,
NASA, The National Aeronautics and Space Administration, NOAA, The National Oceanic and Atmospheric Administration, TSA and several more this event is certainly providing you with the knowledge
required to prepare, respond and recover to disasters.
With over 50 hours worth of unmissable content, exciting new features such as their Disaster
Resilience Roundtable, Emergency Response Live, an Immersive Hurricane Simulation and
much more over just two days, you are guaranteed to gain an all-encompassing insight into
the industry to tackle the challenges of disasters.
By uniting global disaster risk management experts, well experienced emergency
responders and the leading innovators from the world, the event is the hub of the solutions
that provide attendees with tools that they can use to protect the communities and mitigate
the damage from disasters.
Tickets for the event are $119, but we have been given the promo code: HUGI100 that will
enable you to attend the event for FREE!

So don’t miss out and register today:

And in case you missed it, here is our ultimate road trip playlist is the perfect mix of podcasts, and hidden gems that will keep you energized for the entire journey


This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More