BROOKLYN — A former Atlantic Avenue car wash was among several in the city to settle a federal Labor Department suit for over $3 million.

The Atlantic Auto Care Center Inc. of Brooklyn, according to a call made to the car wash yesterday, was sold to new owners who now operate out of the same location, 2591 Atlantic Ave., under a new name.

The now defunct Atlantic Avenue car wash, along with 109th & First Avenue Corp. of Manhattan; 3808 Boston Road Car Wash Inc., 2434 CW Corp. and Boulevard Car Wash of N.Y. Inc., all of the Bronx; Michael’s Car Wash Inc. and Howard Beach Car Wash Corp., both of Queens; 613 Car Wash Corp. of New Rochelle; Lage Management Corp., the parent corporation located in Pelham Manor, N.Y.; and corporate president John Lage have agreed to pay 1,187 current and former employees a total of $3.4 million in back wages and liquidated damages to resolve their part of a lawsuit filed by the U.S. Department of Labor alleging violations of the federal Fair Labor Standards Act (FLSA).

The agreement, in the form of a final partial consent judgment, brings to a conclusion the suit filed by the secretary of labor in Manhattan federal court, which named as defendants a number of related car wash and auto lube businesses and the individuals who operated them, including the above-named. Three partial consent judgments filed earlier in this case resulted in the recovery of $1,348,489 in back wages, liquidated damages and post-judgment interest for more than 200 employees of the defendants’ various other corporations.

The suit has resulted in a total recovery of more than $4.7 million in back wages, liquidated damages and post-judgment interest to more than 1,300 employees. It followed an investigation by the Labor Department’s Wage and Hour Division that disclosed violations of the FLSA’s minimum wage, overtime and recordkeeping requirements.

“This case should be a loud wake up call to other employers of vulnerable workers that the U.S. Department of Labor will not hesitate to pursue them in federal court in order to compel them to pay employees properly for all hours worked,� said Secretary of Labor Hilda L. Solis. “Employers must be aware of their obligation to comply with all federal labor laws, and we are here to make sure that they do.�

The FLSA requires that employees be paid at least the federal minimum wage and time and one-half their regular rates of pay for hours worked over 40 per week. Employers also are required to maintain accurate records of employees’ names, addresses, wages, hours and other conditions of employment.

—Ryan Thompson
Brooklyn Daily Eagle

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