New York City Restaurant Ordered to Pay Employees $436K in Back Wages

December 24, 2010

The U.S. Department of Labor (DOL) recently recovered over $430,000 in overtime pay, minimum wages, liquidated damages and interest for employees of a restaurant in New York City, after the restaurant was accused in a lawsuit of violating the federal Fair Labor Standards Act.

According to the lawsuit, filed by the DOL, that our Anaheim labor attorneys have been following, Back Stage Eatery and two of its officials allegedly violated federal labor laws by failing to pay workers at least the federal minimum wage, requiring employees to work over 40 hours in a workweek without proper overtime compensation, and failing to maintain accurate records of the number of hours each employee worked, and the compensation they received.

As our Newport Beach employment attorneys have discussed in a previous blog, according to the FLSA, covered employees must at least be paid $7.25, the federal minimum wage, as well as one and one-half times their regularly hourly pay rates for any hour worked over 40-hours in a week. The FLSA also requires that employers maintain proper records of employees' hours worked, wages, and other conditions of employment. Under the FLSA it is against the law for employers to retaliate against employees who stand up for their wage and hour rights.

According to Maria Rosado, the director of the DOL's Wage and Hour Division district office in New York City, this lawsuit demonstrates the DOL's continuing commitment to American workers, to ensure that they are paid their legally entitled wages. The consent judgment orders the defendants to pay a total of $435,913 in damages, back wages, and interest. The judgment also bans the defendants from any future violations of the FLSA's overtime pay, recordkeeping, minimum wage and anti-retaliation requirements. The defendants are also required to maintain a timekeeping system that accurately records the hours that employees work, as well as training sessions for employees on how to use the electronic system.

If you or someone you know in Orange County, California, has experienced violations of wage and hour laws, our Anaheim-based team of attorneys and professionals can help. To set up a free meeting, please contact us online or call toll-free at 1-800-872-5925.

US Labor Department Recovers Nearly $436,000 in Back Wages, Liquidated Damages and Interest for Employees of New York City Restaurant, The U.S. Department of Labor Press Release, December 20, 2010

Related Web Resources:

U.S. Department of Labor: Wage and Hour Division (WHD), Fair Labor Standards Act (FLSA)