Life Time Fitness To Pay More Than $970K To Thousands Of Employees

MINNEAPOLIS (WCCO) -- Chanhassen-based Life Time Fitness has agreed to pay thousands of employees nationwide nearly $1 million after a federal investigation found the company violated minimum wage laws.

According to U.S. Department of Labor (USDL), Life Time Fitness will pay 15,909 employees nationwide $488,229 in back wages and an equal amount in damages, which is a total of $976,765.

The USDL says Life Time Fitness took deductions for uniform costs, which meant workers made less than the required federal minimum wage per hour in violation of the Fair Labor Standards Act (FLSA).

"While employers are allowed to take deductions for the cost of uniforms, those deductions cannot bring an employee's earnings below the federal minimum wage," said David King, district director for the Minneapolis District Office of the United States Department of Labor's Wage and Hour Division. "The Wage and Hour Division offers a great deal of compliance assistance and stands ready to help workers and employers alike. Employees who have faced similar deductions or employers who have questions about how to comply should give us a call."

In Minnesota, investigators found violations in the Fridley, Lakeville and Roseville locations with over $11,000 due to 363 employees. Corporate-wide, the company owes back wages of $476,329 to 15,546 employees at locations in 26 states.

In addition to paying the back wages, the company will also pay civil money penalties of $99,825 for violating the FLSA. It will also conduct formal training on FLSA requirements with general managers who hire, oversee, manage, and develop employment and pay practices at locations nationwide.