E-cigarette company Buffalo owed employees $191,000 in unpaid wages

A Buffalo e-cigarette company had to pay $191,000 in back wages to its employees after the company unknowingly violated a state law, state officials said Wednesday.

Magellan Technology/Demand Vapes owed 93 current and former employees additional wages following an investigation by the New York State Department of Labor.

The investigation found the employees had lost their pay under the state’s Allocation of Work Hours Act for Service Workers, according to the Labor Department. Employers are required to pay an overtime hour per day at minimum wage when an employee works more than 10 hours or a split shift.

The Department of Labor became aware of the issue after a competitor filed a complaint. The investigation revealed that Magellan Technology/Demand Vape was understaffed from January 2019 to April 2022, according to the department.

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The company said it was unaware of this law, conducted a self-audit at the request of the Labor Department, and paid all employees their wages due in August.

“We are doing everything we can to not only protect workers, but also to educate employers and businesses,” Labor Commissioner Roberta Reardon said in a statement. “NYSDOL’s involvement brought this matter to the attention of the employer and ensured the collection of unpaid wages.”

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