Lansing company pays out more than $40,000 to workers

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A high-tech Lansing company has agreed to pay almost three dozen employees some $46,000 in back pay to workers who officials say were not properly paid for their overtime work.

It’s the result of a federal investigation into Niowave, Inc. The company’s website says it works with “superconducting electron accelerators” that are used in everything from medical radioisotopes to electron lasers to X-ray sources.

A spokesman for the U.S. Department of Labor’s says an investigation by the Wage Hour Division found the company paid most of its workers a straight salary and did not properly apply rules that would have allowed some employees to collect overtime pay.

The spokesman says Niowave did not have to pay any penalties or fines, just the back wages from June 1st of 2013 through May 31st of 2015.

Those wages add up to $46,048.75 and will go to 35 employees.

The Department of Labor says Niowave has paid $44,301.05 to 32 people, and that investigators at the Wage Hour Division are waiting for proof that Niowave has paid the last three workers.

“Over the past year, Niowave has worked with the Department of Labor regarding the proper classification of workers,” Jerry Hollister, the chief operating officer of Niowave, told 6 News. “In working with DoL, we agree that moving forward, a portion of our workforce will be reclassified from salaried to hourly, and we continue to work with the Department of Labor to ensure that we remain in compliance.”

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