Lange Trucking Restores $2M In Shortchanged 401(k) Funds

0
378

Lange Trucking

Lange Trucking Employees 401(k) Restored

Oakland-based Lange Trucking and its owners shortchanged their employees’ 401(k) program by nearly $2 million dollars, according to a U.S. Department of Labor Wage and Hour Division investigation.

The money has now been replaced and back into the proper accounts of all employees. The results are based on a long investigation by WHD.

The company and its officers paid $500,000 toward the shortfall. The company has now been sold to Minnesota-based Hoovestol, Inc., which made up the rest of the difference, nearly $2 million dollars in total funds.

Lange Trucking moved mail for the U.S. Postal Service. Companies providing services for the federal government must meet prevailing wage and benefits standards for their employees as dictated by the McNamara-O’Hara Service Contract Act.

WHD investigators note that Hoovestol cooperated fully with the investigation and has voluntarily instituted programs to provide greater transparency for its employees.

Note: Companies providing services to the government generally face greater scrutiny than other employers.