Turns out that the social network designed to help you get a better job is a pretty lousy employer. LinkedIn is coughing up nearly $6 million in back wages and damages after the U.S. Department of Labor’s Wage and Hour Division discovered it was not compensating employees for overtime.
The payout will go to 359 current and former employees in offices in California, Illinois, Nebraska, and New York, with $3.3 million in overtime back wages and $2.5 million in damages, according to the Associated Press.
A press release from the U.S. Department of Labor explains further:
LinkedIn failed to record, account and pay for all hours worked in a workweek, investigators found. In addition to paying back wages and liquidated damages, LinkedIn entered into an enhanced compliance agreement with the department that includes agreeing to: provide compliance training and distribute its policy prohibiting off-the-clock work to all nonexempt employees and their managers; meet with managers of current affected employees to remind them that overtime work must be recorded and paid for; and remind employees of LinkedIn’s policy prohibiting retaliation against any employee who raises concerns about workplace issues.
The Federal law applies to hourly employees, ensuring that if they work beyond 40 hours in a week, they are paid 1.5 times their hourly rate in overtime.
Meanwhile, the Mountain View-based company recently signed a lease to take over a new 26-story office tower at 222 Second Street in SoMa, which should be ready in early 2016. Though the terms of the deal have not been announced, SFGate reports that it’s the fourth largest commercial real estate deal in S.F. history. LinkedIn also recently reported its second quarter revenue rose 47% to $534 million, according to the Wall Street Journal.
