According to the Department of Labor, medical products maker DRE Health Corp. misclassified warehouse workers in Orange County, California.
The company, operating as DRE WorldMask USA Ltd., classified employees as independent contractors and failed to pay appropriate wages and overtime.
Based in Overland Park, Kansas, DRE now has to pay $158,096 in back wages and damages to 91 workers.
The DOL says DRE’s actions put workers at risk for not being able to cover basic life expenses.
The company will pay an additional $4,936 in penalties for violating the Fair Labor Standards Act.
In a statement, DOL Wage and Hour District Director Eric Murray said DRE "exploited vulnerable workers,” which “harmed the workers and their families.”
DRE Health is an international company with manufacturing facilities in seven countries.