Executives at Keystone Logistics Group unveiled a new internal initiative this month aimed at fostering what leadership described as a “family culture,” a shift employees say was quickly followed by the quiet elimination of overtime pay across multiple departments.
The change, announced during a mandatory all-staff meeting, was framed as an effort to strengthen relationships, improve morale, and “bring people closer together.” Less than a week later, employees discovered that time-and-a-half compensation for hours worked beyond 40 per week had been reclassified as “flexible contribution time.”
Company leadership says the two developments are unrelated.
“This is about values,” said CEO Ronald Becker. “We want people to feel supported, connected, and invested in one another.”
Employees say they feel invested in clocking out earlier than they’re allowed to.
A Warm Introduction
Keystone Logistics, a regional employer with operations across several counties, employs approximately 320 people in warehouse, transportation, and administrative roles. The company has long described itself as “people-first,” a phrase prominently displayed in its break rooms and recruitment materials.
That messaging intensified earlier this month when Becker and other executives announced the launch of what they called the Keystone Family Initiative.
“This isn’t just a workplace,” Becker told employees. “It’s a family.”
Slides presented during the meeting emphasized trust, loyalty, and shared sacrifice. One slide, according to employees, featured a stock photo of a smiling family gathered around a dinner table.
“At the time, it seemed cheesy but harmless,” said one warehouse supervisor. “Nobody thought it meant our paychecks were about to change.”
The Policy Shift
Days after the meeting, employees received an email from human resources outlining updates to the company’s timekeeping policies.
The message explained that while employees would still be expected to complete their assigned workloads, overtime hours would now be evaluated “holistically” rather than compensated automatically.
“In a family,” the email read, “everyone pitches in when needed.”
The email did not mention overtime pay explicitly.
Several employees said they realized something was wrong when their next paychecks arrived.
“I worked 52 hours that week,” said one driver. “I got paid for 40.”
Questions, Carefully Asked
Employees who contacted HR for clarification were told the company was transitioning away from “transactional thinking” in favor of “shared commitment.”
“One person asked if this was legal,” said an employee who requested anonymity. “HR said we should focus on the bigger picture.”
That picture, employees say, remained vague.
When pressed, HR representatives reportedly emphasized that no one was being asked to work extra hours.
“They said overtime was optional,” said another employee. “But our workload didn’t change.”
Supervisors, meanwhile, continued assigning schedules that exceeded standard workweeks.
Leadership Responds
Reached for comment, Becker said the company had not eliminated overtime pay, but rather “reimagined” it.
“We’re still compensating our people,” he said. “Just not in ways that reduce everything to hours and dollars.”
Asked how employees were being compensated for additional hours worked, Becker said the company offered “flexibility, growth opportunities, and a sense of belonging.”
He added that employees were free to discuss concerns with management.
“We encourage open communication,” Becker said. “Families talk things through.”
Employees Feel the Shift
On the warehouse floor, employees say the tone has changed.
“There’s a lot more talk about loyalty now,” said one employee. “And a lot less talk about pay.”
Several employees said supervisors have begun referring to extended shifts as “helping out the family.”
“You don’t want to be the one who lets the family down,” said another worker. “Even if you’re exhausted.”
Some employees said they’ve begun tracking their hours privately, unsure whether the policy is permanent.
Others said they’re quietly exploring other job opportunities.
“I love my coworkers,” said one employee. “But my landlord isn’t part of the family.”
Experts See Red Flags
Labor experts say the use of familial language in workplace settings often coincides with blurred boundaries.
“When companies describe themselves as families, it can create pressure to accept sacrifices that wouldn’t be expected in a professional relationship,” said Dr. Angela Foster, a labor relations specialist.
Foster said overtime policies are a frequent flashpoint.
“Pay structures should be clear and consistent,” she said. “When compensation becomes ambiguous, employees lose leverage.”
Asked whether family culture initiatives can be used to justify reduced pay, Foster said it happens more often than people realize.
“It reframes exploitation as devotion,” she said.
Legal Questions Linger
While Keystone Logistics insists its policies comply with labor laws, several employees said they are unsure.
“I don’t want to cause trouble,” said one worker. “But I also don’t want to work for free.”
Local labor advocates say they’ve received an uptick in inquiries related to unpaid overtime, particularly from companies emphasizing culture and alignment.
“There’s a pattern,” said one advocate. “The language gets softer as the compensation gets harder to find.”
Morale, Reassessed
In a follow-up email sent last week, Keystone leadership thanked employees for embracing the new culture and encouraged them to “lean into the family mindset.”
The email highlighted a recent pizza lunch as evidence of the company’s appreciation.
“It felt like a joke,” said one employee. “We lost overtime and got pepperoni.”
Becker, however, said morale remains strong.
“We’re seeing increased engagement,” he said. “People are stepping up.”
The Family Grows Quiet
As of press time, Keystone Logistics had not clarified whether overtime pay would be reinstated or how long the new policy would remain in place.
Employees say they are waiting for answers.
“Families are supposed to look out for each other,” said one employee. “Right now it feels like we’re the ones doing all the looking out.”
Editor’s Note
Keystone Logistics Group did not provide written documentation outlining its revised overtime policy. Requests for clarification regarding compliance with labor regulations were not answered before publication.
