Lochend Energy , Oil Field Service Provider Sued for Unpaid Wages

Lochend Energy, an American and Canadian based oilfield services company, has been sued for unpaid wages on behalf of their salaried Coil Tubing Supervisors, day-rate Flowback Supervisors, and hourly Assistants/Junior Supervisors/ Operators. The company which provides coil tubing and flow back production for the oil and gas industry, has been accused of failing to properly pay it workers for overtime. Due to the harsh working conditions and long shifts that are scheduled for weeks on end, affected workers have alleged that the company has violated several aspects of the Fair Labor Standards Act (“FLSA”) as well as numerous state laws.

Specifically, Coil Tubing Supervisors for the company were paid a salary and day rate regardless of all of the hours worked in a week. The lawsuit claims that these workers were incorrectly classified as exempt from receiving overtime pay because their job duties more closely resemble those of a worker entitled to receive time and a half when working over 40 hours per week. Their duties included, but were not limited to: rigging up and rigging down well sites, operating their trucks’ equipment, cleaning up job sites, assisting Operators while on the job sites, and filling out routine end of day reports. Additionally, Coil Tubing Supervisors did not have the authority to hire or fire employees, nor were they involved in the interview process. Due to this misclassification these workers allege that their rights under the FLSA as well as corresponding state wage and hour laws were violated.

Lochend Energy also paid certain Flowback Supervisors a set daily rate, without regard to how many hours they actually worked. These Day-Rate employees failed to receive any additional pay for overtime compensation when working over 40 hours per week. Finally, some of the companies employees, such as their Flowback Supervisors and Assistants/Junior Supervisors/Operators, were paid an hourly rate but went unpaid for certain aspects of their job. This included pay for required pre- and post-shift safety and “cross-over” meetings while on job sites. Additionally, they were required to spend a significant time traveling to and from job sites, as well as preparing for their assigned jobs at the company’s offices and yards for which they also went unpaid.

Unfortunately, the oil and gas industry runs rampant with labor violations that many hard-working individuals believe is the norm. Speaking to an employment attorney may help you understand if you may be owed wages. If you worked for Lochend Energy as a Coil Tubing Supervisor, day-rate Flowback Supervisor, or hourly Assistant/Junior Supervisor/ Operator you may be eligible to join this matter. Also, if you’ve worked in the industry and have concerns about your pay structure, you can reach Fitapelli & Schaffer, LLP at (212) 300-0375 for a free and confidential consultation or you can visit our website for additional information.

You can also view the complaint here.