CALLICOON – An investigation by the U.S. Department of Labor (USDOL) resulted in the discovery of federal pay and child labor violations by two Callicoon-based resorts.

In conjunction with the Wage and Hour Division, investigators found that Villa Roma Resort and Conference Center Inc. and Villa Roma Resort Lodges Inc. had failed to pay correct overtime wages to tipped employees – not adhering to the higher New York State rate for hours over 40 hours in a single work week.

The UDOL also said the resorts reportedly failed to include additional payments for commissions, bonuses, and side jobs while calculating the employees regular rate of pay.

A total of $40,691 was recovered by the division for the 56 employees impacted to resolve the resorts’ violation of the Fair Labor Standards Act, the USDOL reports.

The investigation also determined that the resorts owe an additional $9,452 in civil money penalties for federal child labor law violations. According to the investigation, the resorts allowed 11 minors between the age of 14 and 15 to work more hours than what is permitted by federal law. It was identified that there were several instances in which a number of young employees had worked past 9 and 10 p.m.

“Villa Roma Resort & Conference Center Inc. and Villa Roma Resort Lodges Inc. could have easily prevented these violations with knowledge and due diligence,” said Wage and Hour Division District Director Jay I. Rosenblum in Albany, New York.

The Democrat reached out to the Villa Roma but did not hear back by presstime.