Heavy Duty Trucking Logo
MenuMENU
SearchSEARCH

Labor Department Orders Carrier to Pay Back Wages

Contract Transport has agreed to pay 201 truck drivers a total of $160,073 in back wages and fringe benefits after an investigation by the U.S. Department of Labor’s Wage and Hour Division found that the trucking company violated provisions of the McNamara-O’Hara Service Contract Act.

by Staff
April 1, 2013
Labor Department Orders Carrier to Pay Back Wages

 

2 min to read


Contract Transport has agreed to pay 201 truck drivers a total of $160,073 in back wages and fringe benefits after an investigation by the U.S. Department of Labor’s Wage and Hour Division found that the trucking company violated provisions of the McNamara-O’Hara Service Contract Act.

The department says the company, which has a contract to haul mail for the U.S. Postal Service, violated the SCA by failing to document and pay mail haul drivers for delay time during trips.

Ad Loading...

“Government contracts specify in detailed language how pay and benefits are to be determined, and employers are required to follow these rules so workers are paid correctly,” said Michael Staebell, district director of the Wage and Hour Division’s office in Des Moines. “Contractors are well aware of these obligations when they bid, and when the contracts are awarded. This investigation demonstrates the department’s commitment to ensuring that employees are paid the wages they have rightfully earned and to leveling the playing field among all employers who do business with the government.”

The investigation determined that the employer paid drivers for a predetermined number of hours per trip, without regard to how long the trips took. Delays brought on by weather, construction or other factors resulted in hours worked by employees going unpaid, in violation of the SCA. As a result, 115 employees at Contract Transport’s headquarters facility in Des Moines are due $64,217 in back wages, and 86 employees who operate out of the company’s Kansas City, Mo., facility are due $95,856.

In addition to paying all of the back wages found due, Contract Transport has agreed to train both office staff and drivers on the importance of proper time documentation, to ensure future documentation of all hours worked, including delay time, and to provide a phone number to workers to report pay discrepancies.

The SCA requires that contractors and subcontractors performing services on covered federal contracts in excess of $2,500 must pay their service workers no less than the wages and fringe benefits prevailing in the locality, or rates contained in a predecessor contractor’s collective bargaining agreement.

More Fleet Management

Daimler-Class8 partnership.
Fleet Managementby News/Media ReleaseFebruary 2, 2026

DTNA Partners with Class8 to Expand Digital Services for Freightliner Owner-Operators

A new partnership brings free wireless ELD service plus load optimization and dispatch planning tools to fourth- and fifth-generation Freightliner Cascadia customers, with broader model availability planned through 2026.

Read More →
SponsoredFebruary 1, 2026

Reducing Fleet Downtime with Advanced Diagnostics

This white paper examines how advanced commercial vehicle diagnostics can significantly reduce fleet downtime as heavy duty vehicles become more complex. It shows how Autel’s CV diagnostic tools enable in-house troubleshooting, preventive maintenance, and faster repairs, helping fleets cut emissions-related downtime, reduce dealer dependence, and improve overall vehicle uptime and operating costs.

Read More →
SponsoredFebruary 1, 2026

Stop Watching Footage, Start Driving Results

6 intelligent dashcam tactics to improve safety and boost ROI

Read More →
Ad Loading...
M&A illustration with Werner and FirstFleet logos
Fleet Managementby Deborah LockridgeJanuary 29, 2026

Werner Expands Dedicated Fleet Nearly 50% With FirstFleet Acquisition

The $283 million acquisition of FirstFleet makes Werner the fifth-largest dedicated carrier and pushes more than half of its revenue into contract freight.

Read More →
Bobit Business Media B2X Rewards.
Fleet Managementby News/Media ReleaseJanuary 29, 2026

Bobit Business Media Launches B2X Rewards Engagement Program

B2X Rewards is a new, gamified rewards program aimed at driving deeper engagement across BBM’s digital platforms, newsletters, events, and TheFleetSource.com.

Read More →
Trucking Trends series graphic
Fleet Managementby Deborah LockridgeJanuary 29, 2026

AI is Reshaping Trucking in 2026, from the Back Office to the Shop

Trucking’s biggest technology shifts in 2026 have one thing in common: artificial intelligence.

Read More →
Ad Loading...
Column graphic illustration with Deborah Lockridge head shot and a small fleet truck in the background
Fleet Managementby Deborah LockridgeJanuary 27, 2026

Why Small Trucking Fleets Are Still Standing [Commentary]

Why discipline, relationships, and focus have mattered more than size for smaller trucking fleets during the freight recession.

Read More →
Fleet Managementby Deborah LockridgeJanuary 23, 2026

Cargo Theft Is Surging. A Bill in Congress Could Help. [Video]

Cargo theft losses hit $725 million last year. In this HDT Talks Trucking Short Take video, Scott Cornell explains how a bill moving in Congress could bring federal tracking, enforcement, and prosecutions to help address the problem.

Read More →
CargoNet infographic showing 2025 cargo theft trends
Fleet Managementby Deborah LockridgeJanuary 22, 2026

Cargo Theft Losses Jump 60% in 2025 as Criminals Target Higher-Value Freight

Cargo theft activity across North America held relatively steady in 2025 — but the financial damage did not, as ever-more-sophisticated organized criminal groups shifted their cargo theft focus to higher-value shipments.

Read More →
Ad Loading...
Phillips Connect -- McLeod smart trailer TMS.
Fleet ManagementJanuary 22, 2026

Phillips Connect, McLeod Integrate Smart Trailer Data into TMS Workflows

A new partnership between Phillips Connect and McLeod allows fleets to view trailer health, location, and cargo status inside the same McLeod workflows used for planning, dispatch, and execution.

Read More →