An investigation found Seaboard Triumph Foods (STF) in Sioux City, Iowa failed to compensate 413 employees for work performed outside of their shifts, totaling $331,807 in back wages.
Processing 21,000 hogs per day, STF’s facility produces 25 billion pounds of pork annually and exports to 30 countries. STF employs 2,200 workers in the tri-state area.
The U.S. Labor Department’s Wage and Hour Division determined STF violated provisions under the Fair Labor Standards Act as employees were not paid for all hours worked and were not paid overtime beyond a 40-hour work week at time and a half the employees’ average hourly rate of pay. In addition, STF failed to keep required, accurate payroll records.
The investigators also raised an issue from 2018 about certain compensable time and after STF review, it was discovered that employees had clocked into the facility outside of their scheduled work hours without notifying their supervisors.
In a recent release, vice-president and general manager of STF, Frank Koekkoek explained the company compensates employees for work completed before and after shifts and believes all employees were properly compensated. STF has taken steps to compensate employees voluntarily for prior work performed and has implemented additional processes to ensure employees are fairly and fully compensated for their work going forward.
