LinkedIn settles over staff wages violations

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LinkedIn settles over staff wages violations

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LinkedIn has reached a settlement with the US Labor Department over violations of wages law.

The online career networking company has agreed to pay about $6 million (4.5 million euros) in back pay for overtime and damages to 359 current and former employees.

LinkedIn blamed not having what it called “the right tools in place” to properly track hours worked by some of its sales force.

As a result a government investigation found the company had failed to adequately record and compensate employees for all the time they had worked.

The Labor Department said LinkedIn had “shown a great deal of integrity by fully cooperating with investigators and stepping up to the plate without hesitation to help make workers whole”.

It added that LinkedIn has sent the payments to the workers covered by the settlement.

One week before the settlement was announced, LinkedIn reported a 47 percent jump in second-quarter revenue, surpassing analysts’ expectations.

The website’s membership jumped by a third to 313 million in the quarter that ended on June 30.

with Reuters