DOL announces grant exceeding $1 million to assist Iowa layoff workers

Last month, the U.S. Department of Labor announced a $1,096,423 grant to assist approximately 178 workers affected by layoffs at Alcoa North American Rolled Products in Bettendorf, Iowa, took place between January and June 2009, and John Deere Davenport Works in Davenport, Iowa, began in February 2009.

On Sep 8, the U.S. Department of Labor announced a $1,096,423 grant to assist approximately 178 workers affected by layoffs at Alcoa North American Rolled Products in Bettendorf, Iowa, took place between January and June 2009, and John Deere Davenport Works in Davenport, Iowa, began in February 2009.

This grant will be funded by resources made available for National Emergency Grants under the American Recovery and Reinvestment Act of 2009. National Emergency Grants are part of the secretary of labor's discretionary fund and are awarded based on a state's ability to meet specific guidelines.

This grant was awarded to Iowa Workforce Development, and will be operated by Iowa@Work, a division of Eastern Iowa Community College. It will allow affected workers to access services including skills assessment, basic skills training, individual career counseling and occupational skills training.

"Iowa workers affected by these layoffs need and deserve support," said Secretary of Labor Hilda L. Solis. "The grant will provide retraining, job search assistance and other services to help them prepare for career track positions in promising regional industries."

Employment Numbers of Last August

On Sep 4, secretary of Labor Hilda L. Solis issued the August 2009 Employment Situation report, on which, she stated that during past August, the economy lost 216,000 jobs, fewer than what most experts expected. Now the overall unemployment rate is 9.7 percent.

Since this administration took office, the economy had been losing average 700,000 jobs every month, so the job loss of last month is an improvement, “but is still by no means acceptable”, said Hilda L. Solis, "These numbers are a sobering reminder that our economic conditions continue to cause pain for many Americans and that families are having a difficult time simply covering their daily necessities, much less planning for the future.”

One of the Department of Labor’s principal goals is to help those people that have lost their jobs until there is a full recovery that includes sustained job growth. They have taken some measures to protect workers, such as extending the number of weeks available for unemployment insurance, increasing the monthly benefit amount by an extra $25 a week, strengthening social safety net by subsidizing 65 percent of COBRA premiums and providing new training opportunities for workers, so that the unemployed can more easily access health insurance.

At the same time, the Recovery Act has also provided much needed aid to states and has spurred work on shovel-ready projects. Sep 3 marked the 200-day milestone of the Recovery Act, and Vice President Biden announced that all 10 agencies met or exceeded their commitments in our roadmap to recovery.

Hilda L. Solis also mentioned that “We still have a long way to go until we can say that the economy is back on track and everyone has access to a good job, but I am confident that we will reach that goal. And I will make sure that the Department of Labor is standing by, supporting workers every step of the way."

QuikTrip to Pay $750,000 in Back Wage

Convenience store operator QuikTrip Corp. agreed to pay $747,729 in overtime back wages for 3,819 current and former convenience store workers ，following an investigation by the U.S. Department of Labor’s Wage and Hour Division’s Arkansas-Oklahoma District Office.

The Department of Labor said on Monday that they found Tulsa-based QuikTrip had violated the Fair Labor Standards Act (FLSA) by failing to pay its employees the overtime compensation they were legally entitled to receive. The chain did not pay additional overtime premiums due on performance-related bonuses. Among the states involved in the investigation were Missouri , Illinois , Arizona , Georgia , Iowa , Nebraska , Oklahoma and Texas .

An employer is not required by law to provide a bonus, but if a nondiscretionary bonus is paid, the bonus must be included as part of the employee's regular rate of pay for purposes of computing overtime. The FLSA requires that covered employees be paid at least the federal minimum wage and receive overtime at one and one-half times their regular rates of pay for hours worked beyond 40 per week. Effective July 24, 2009, the minimum wage is $7.25 per hour. Employers must also maintain accurate time and payroll records.

Mike Thornbrugh, QuikTrip spokesman, said that "We have an additional form of compensation, and that is an additional bonus that we pay based on customer service…What we did, and it's our fault, is we had a computer programming error that was paying some employees too much for that and others were not getting the appropriate amount. We obviously fixed the program and reimbursed employees who were not getting the proper amount."

"I am pleased that this case has resulted in almost $750,000 in back wages being paid to thousands of workers across nine states," said Secretary of Labor Hilda L. Solis. "I am committed to ensuring that every worker is paid the full wages he or she is due, and that those who work overtime receive the compensation to which they are legally entitled."