AL security company responds to government investigation

AL security company responds to government investigation
(Source: WAFF 48 News)
(Source: WAFF 48 News)
(Source: WAFF 48 News)
(Source: WAFF 48 News)
(Source: WAFF 48 News)

HUNTSVILLE, AL (WAFF) - Several Huntsville companies have come under fire after the Department of Labor says they violated multiple labor laws.

Now, the government is ordering them to give hundreds of workers more than $1 million in back pay and benefits.

A Huntsville security contractor and two subcontractors were named in the case.

ManTech International Corporation and two subcontractors will pay $1,184,722 in back wages to 236 employees after a U.S. Department of Labor investigation found the companies violated provisions of the Fair Labor Standards Act (FLSA), Service Contract Act (SCA), and the Contract Work Hours and Safety Standards Act (CWHSSA).

Investigators with the Wage and Hour Division found that the companies were paying employees rates and benefits less than those required by law. In addition, they were not paying the employees time and a half for overtime.

According to the government, Systems Development and Bevilacqua Research also failed to record any overtime hours in the payroll records.

"No contractor should gain an economic advantage by paying workers below the wages and fringe benefits required on a prevailing wage contract," said Kenneth Stripling, Wage and Hour Division District Director in Birmingham. "Not only does this practice undercut what the workers involved are legally owed, it results in unfair competition for contractors who play by the rules."

The SCA requires contractors and subcontractors performing services on prime contracts in excess of $2,500 to pay service employees in various classes no less than the wage rates and fringe benefits found prevailing in the locality, or the rates, including prospective increases, contained in a predecessor contractor's collective bargaining agreement.

ManTech responded to the Department of Labor's finding, saying they did not violate any labor laws and that the government changed the initial terms of the contract. 

Jim Crawford, executive director of External Communications issued the following statement:

"Contrary to the Department of Labor press release, ManTech did not violate the Fair Labor Standards Act (FLSA), Service Contract Act (SCA), or the Contract Work Hours and Safety Standards Act (CWHSSA).  The U.S. Government initially determined that ManTech was not required ManTech to pay SCA wages and benefits under the contract.  The Government later changed its mind, and modified ManTech's contract to add that requirement.  In response to that new direction from the Government, ManTech adjusted the compensation owed to the employees."

As for the subcontractors, BRC declined to comment and SDC could not be reached.

ManTech was founded in 1968 to provide advanced technological services to the United States Government. They have locations across the country.

"Today, we are a multi-billion-dollar public company that provides the innovation, adaptability, and critical thinking our government needs for success in defense, intelligence, law enforcement, science, administration, health, and other fields—throughout the nation and in many countries around the world. We are now applying the lessons learned in the unforgiving arena of national security to help the private sector protect networks and critical information," the company says on their website.

SDC is an Economically Disadvantaged Woman-Owned Small Business (EDWOSB) that was formed in 1990 to provide systems engineering services to the Federal government. Since its formation, SDC has provided service in this and support service arenas to the Department of Defense, NASA, GSA, and other Federal Agencies as a Prime and Sub-contractor.

Bevilacqua Research Corporation, a Service Disabled Veteran Owned, Small Business based in Huntsville, has supported the Aerospace and Defense Community since 1992. They've provided the DoD, Military Services, National and Military Intelligence Agencies, NASA and other government agencies with technical and management solutions to a diverse government and commercial customer base.

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