WESH 2 Investigates: U.S. Department of Labor alleges Florida company owes workers back pay

WESH TWO INVESTIGATES REVEALS A NATION WIDE PROBLEM. ACCORDING TO THE GOVERNMENT. HUNDREDS OF THOUSANDS OF WORKERS ARE OWED. BACK PAY. INVESTIGATIVE REPORTER GREG FOX TAKES US INSIDE ONE OF THE BIGGEST CASES EVER RIGHT HERE IN FLORIDA, AND EXPLAINS WHAT YOU CAN DO IF YOU ARE OWED MONEY. I DEFINITELY. FEEL LIKE THEY TOOK ADVANTAGE OF US. I FEEL LIKE THAT WE THERE’S AN INJUSTICE GOING ON, AND VERY MUCH SO. MY. PAY WAS SIGNIFICANTLY REDUCED. REPORTER. THESE ARE JUST THREE PEOPLE WITH STORIES TO TELL ABOUT ARISE VIRTUAL SOLUTIONS BASED IN MIRAMAR, FLORIDA. ITS WEBSITE DESCRIBES IT AS A CUSTOMER EXPERIENCE COMPANY SETTING UP EMPLOYEES AND INDEPENDENT SERVICE PARTNERS TO. HANDLE CUSTOMER SERVICE FOR COMPANIES THROUGH CALLS, CHAT AND EMAILS. BUT A RISE IS BEING SUED BY THE US DEPARTMENT OF LABOR, ALLEGING THAT IT VIOLATED THE FAIR LABOR STANDARDS ACT BY NOT FAIRLY COMPENSATING ITS EMPLOYEES. IT’S IMPORTANT TO NOTE THE MAJOR. ARISE CUSTOMERS LISTED IN THE COMPLAINT AND IN DOL DOCUMENTS. WALT DISNEY COMPANY BARNES AND NOBLE BOOKSELLERS, WALGREENS. PHARMACIES, HOME IMPROVEMENT STORES LIKE HOME DEPOT, AND A FLEET. OF THE MOST POPULAR CRUISE LINES ARE NOT SUSPECTED OF ANY WRONGDOING. THE FEDERAL COMPLAINT, FILED IN THE SOUTHERN. DISTRICT OF FLORIDA, CONTAINS A LIST OF MORE THAN 22,000 NAMES OF CURRENT AND FORMER ARISE EMPLOYEES WHO MAY BE OWED MONEY IN WHAT COULD BE THE LARGEST CASE OF ITS KIND IN. US HISTORY. ROBERT BEST OF AUBURNDALE TELLS ME HE’S BEEN HANDLING BASIC CUSTOMER SERVICE FOR CRUISE. LINES. BUT HE SAYS RECENTLY A RISE. DIRECTED HIM TO HANDLE CRUISE BOOKINGS BUT KEPT HIS PAY AT $13 AN HOUR FOR THE WORK WE DO, YOU CAN GO TO MCDONALD’S AND MAKE THE, UH, $13 AN HOUR VACATION DINING RESERVATIONS WERE THE RESPONSIBILITY OF MISTY RIVERA OF TAMPA, WHO QUIT WHEN SHE SAYS A RISE REDUCED HER PAY FROM. $20 TO $13 AN HOUR. I WAS IN THE END, I WAS SHORT CHANGED BECAUSE. THEY REDUCED MY PAY AND I WAS WORKING HARD AND I WAS MAKING A LOT OF BOOKINGS, ALI MARGOT OF LAKE CITY SHOWED ME HER PAY SCHEDULE, $6 PER 30 MINUTE INTERVAL, $12 PER HOUR THROUGH LONG DAYS AND NIGHTS HANDLING ROADSIDE SERVICE CALLS FOR BIG INSURANCE COMPANIES. THEY NEED TO PAY UP. THEY NEED TO PAY US FOR OUR TIME BECAUSE WE ARE VALUED PEOPLE, ACCORDING TO THE LAWSUIT, ARISE MISCLASSIFIED EMPLOYEES AS INDEPENDENT CONTRACTORS DENIED MINIMUM WAGES AND OVERTIME PAY AND FAILED TO KEEP ACCURATE TIME AND PAY RECORDS. THE GOVERNMENT ALSO ALLEGES THAT ARISE CHARGED EMPLOYEES FOR REQUIRED EQUIPMENT AND TRAINING, REQUIRED THEM TO CREATE THEIR OWN CORPORATIONS AND REQUIRED EMPLOYEES TO WAIVE THEIR ABILITY TO SEEK RESTITUTION FOR ALLEGED VIOLATION OF LABOR LAWS. AN EXECUTIVE FOR ARISE TOLD WESH TWO INVESTIGATES NO ONE WOULD CONSENT TO AN INTERVIEW, BUT PROVIDED THIS STATEMENT, WE DISAGREE WITH THE DEPARTMENT OF LABOR’S EFFORTS TO TAKE AWAY THE OPPORTUNITIES THAT THE ARISE PLATFORM PROVIDES. WE WILL CONTINUE WORKING WITH THE DEPARTMENT OF LABOR TO ANSWER QUESTIONS AND ILLUSTRATE HOW WE APPROPRIATELY USE THE INDEPENDENT CONTRACTOR RELATIONSHIP. TO PROTECT FLEXIBILITY, WE FIND VERY HIGH RATES OF VIOLATIONS WILL DELAY. DEJESUS IS WITH THE WAGE AND HOUR DIVISION RIGHT NOW, THERE ARE MORE THAN 222,000 US WORKERS ACROSS ALL INDUSTRIES THAT ARE OWED A STAGGERING $162 MILLION IN BACK PAY. IN FLORIDA, MORE THAN 14,000 WORKERS ARE OWED. $6.6 MILLION. THAT’S A BIG NUMBER. THAT IS A BIG NUMBER. OUR INVESTIGATIONS REALLY FOCUS ON COMPUTING WAGES THAT ARE DUE AND WERE EARNED BY WORKERS AND WERE NOT PAID CORRECTLY. WHILE THESE PEOPLE ARE HOPING THEY CAN BE INCLUDED IN THE LAWSUIT, ANYONE WHO WORKED FOR ARISE VIRTUAL SOLUTIONS OR ANY COMPANY IN WHICH THEY BELIEVE THEY WERE UNDERPAID CAN FILE A DEPARTMENT O

WESH 2 Investigates has been exploring a nationwide problem that's growing, even as more and more people struggle to make ends meet: unpaid wages.The government alleges hundreds of thousands of U.S. workers are owed back pay. One of the Florida companies targeted by the U.S. Department of Labor’s Wage and Hour Division is Arise Virtual Solutions, based in Miramar.Its website describes it as a customer experience company, setting up employees and independent service partners to handle customer service for companies through calls, chat and emails.But Arise is being sued by the DOL, which alleges the company violated the Fair Labor Standards Act by not fairly compensating its employees.It's important to note the major Arise customers listed in the complaint and in DOL documents — Walt Disney Company, Barnes and Noble Booksellers, Walgreens pharmacies, home improvement stores like Home Depot, and a fleet of the most popular cruise lines — are not suspected of any wrongdoing.The federal complaint, filed in the Southern District of Florida, contains a list of 22,359 names of current and former Arise employees who may be owed money in what could be the largest misclassification case in U.S. history.“I feel like there is an injustice going on and very much so,” said Robert Best of Auburndale. He told WESH 2 Investigates he's an independent contractor who has been handling basic customer service for cruise companies.He says Arise recently directed him to handle cruise bookings, handling the duties of a travel agent, but he kept his pay at $13 an hour.He believes that’s left him underpaid, adding, “For the work we do, you can go to McDonald's and make $13 an hour.” “My pay was significantly reduced,” said Mistie Rivera of Tampa, a former Arise Virtual Solutions contractor.Her job was handling vacation dining reservations at a major resort.She says she quit when she claims Arise reduced her pay from $20 to $13 an hour.“I was in the end feeling shortchanged because they reduced my pay and I was working hard and I was making a lot of bookings," Rivera said. “I definitely feel like they took advantage of us,” said Allie Meherg, another former contractor living in Lake City.She showed WESH 2 Investigates the pay schedule provided by Arise.It shows pay of $6 per 30-minute interval and $12 per hour, though she said she believes she was not paid for all of the hours she worked handling roadside assistance calls for customers of big insurance companies that offer the service.“They need to pay up. They need to pay us for our time, because we are valued people," Meherg said. According to the lawsuit, Arise misclassified employees as independent contractors, denied minimum wages and overtime pay and failed to keep accurate time and pay records.The government also alleges Arise charged employees for required equipment and training, required them to create their own corporations and required employees to waive their ability to seek restitution for alleged violations of labor laws (FLSA). An executive for Arise, Chief Growth Officer Robert Padron, told WESH 2 Investigates no one would consent to an interview, but provided this statement from an Arise vice president of service partner marketing, Lyssa Allen:“More and more people are looking for and choosing flexible opportunities that best fit their schedule and lifestyle. For some, that means remote work, part-time work, or working on multiple platforms, or building their own business. Arise is proud to provide these opportunities for those that want the responsibility and challenge of building their own business," Allen said in a statement. “We disagree with the Department of Labor’s efforts to take away the opportunities that the Arise® Platform provides. We have and will continue working with the Department of Labor to answer questions and illustrate how we appropriately use the independent contractor relationship to protect flexibility.” “We find very high rates of violations,” said Wildali De Jesus.She’s the deputy regional administrator for the southeast region of the DOL’s Wage and Hour Division. She says the case against Arise Virtual Solutions represents just a small portion of the overall division caseload, seeking back pay for American workers. Right now, there are 222,176 U.S. workers across all industries who are owed a staggering $162 million in back pay.Just in Florida, 14,174 workers are owed $6.6 million.“That’s a big number. Our investigations really focus on computing wages that are due and were earned by workers and were not paid correctly. We want to get them what they are owed," De Jesus said. While Best, Rivera and Meherg are hoping they can be included in the lawsuit, anyone who worked for Arise Virtual Solutions or any company in which they believe they were underpaid can file a Department of Labor Wage and Hour Division complaint. Arise has denied in court filings nearly every allegation raised by the Department of Labor in its complaint. Top headlines: OnlyFans decal controversy: Central Florida mom says sticker got her banned from drop-off at kids' school Sheriff: Violent Marion County crash involving stolen deputy vehicle kills 3, injures 1 FHP: 17-year-old slams into back of Orange County deputy's vehicle

MIRAMAR, Fla. —

WESH 2 Investigates has been exploring a nationwide problem that's growing, even as more and more people struggle to make ends meet: unpaid wages.

The government alleges hundreds of thousands of U.S. workers are owed back pay.

One of the Florida companies targeted by the U.S. Department of Labor’s Wage and Hour Division is Arise Virtual Solutions, based in Miramar.

Its website describes it as a customer experience company, setting up employees and independent service partners to handle customer service for companies through calls, chat and emails.

But Arise is being sued by the DOL, which alleges the company violated the Fair Labor Standards Act by not fairly compensating its employees.

It's important to note the major Arise customers listed in the complaint and in DOL documents — Walt Disney Company, Barnes and Noble Booksellers, Walgreens pharmacies, home improvement stores like Home Depot, and a fleet of the most popular cruise lines — are not suspected of any wrongdoing.

The federal complaint, filed in the Southern District of Florida, contains a list of 22,359 names of current and former Arise employees who may be owed money in what could be the largest misclassification case in U.S. history.

“I feel like there is an injustice going on and very much so,” said Robert Best of Auburndale.

He told WESH 2 Investigates he's an independent contractor who has been handling basic customer service for cruise companies.

He says Arise recently directed him to handle cruise bookings, handling the duties of a travel agent, but he kept his pay at $13 an hour.

He believes that’s left him underpaid, adding, “For the work we do, you can go to McDonald's and make $13 an hour.”

“My pay was significantly reduced,” said Mistie Rivera of Tampa, a former Arise Virtual Solutions contractor.

Her job was handling vacation dining reservations at a major resort.

She says she quit when she claims Arise reduced her pay from $20 to $13 an hour.

“I was in the end feeling shortchanged because they reduced my pay and I was working hard and I was making a lot of bookings," Rivera said.

“I definitely feel like they took advantage of us,” said Allie Meherg, another former contractor living in Lake City.

She showed WESH 2 Investigates the pay schedule provided by Arise.

It shows pay of $6 per 30-minute interval and $12 per hour, though she said she believes she was not paid for all of the hours she worked handling roadside assistance calls for customers of big insurance companies that offer the service.

“They need to pay up. They need to pay us for our time, because we are valued people," Meherg said.

According to the lawsuit, Arise misclassified employees as independent contractors, denied minimum wages and overtime pay and failed to keep accurate time and pay records.

The government also alleges Arise charged employees for required equipment and training, required them to create their own corporations and required employees to waive their ability to seek restitution for alleged violations of labor laws (FLSA).

An executive for Arise, Chief Growth Officer Robert Padron, told WESH 2 Investigates no one would consent to an interview, but provided this statement from an Arise vice president of service partner marketing, Lyssa Allen:

“More and more people are looking for and choosing flexible opportunities that best fit their schedule and lifestyle. For some, that means remote work, part-time work, or working on multiple platforms, or building their own business. Arise is proud to provide these opportunities for those that want the responsibility and challenge of building their own business," Allen said in a statement. “We disagree with the Department of Labor’s efforts to take away the opportunities that the Arise® Platform provides. We have and will continue working with the Department of Labor to answer questions and illustrate how we appropriately use the independent contractor relationship to protect flexibility.”

“We find very high rates of violations,” said Wildali De Jesus.

She’s the deputy regional administrator for the southeast region of the DOL’s Wage and Hour Division.

She says the case against Arise Virtual Solutions represents just a small portion of the overall division caseload, seeking back pay for American workers.

Right now, there are 222,176 U.S. workers across all industries who are owed a staggering $162 million in back pay.

Just in Florida, 14,174 workers are owed $6.6 million.

“That’s a big number. Our investigations really focus on computing wages that are due and were earned by workers and were not paid correctly. We want to get them what they are owed," De Jesus said.

While Best, Rivera and Meherg are hoping they can be included in the lawsuit, anyone who worked for Arise Virtual Solutions or any company in which they believe they were underpaid can file a Department of Labor Wage and Hour Division complaint.

Arise has denied in court filings nearly every allegation raised by the Department of Labor in its complaint.

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WESH 2 Investigates: U.S. Department of Labor alleges Florida company owes workers back pay

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