U.S. Department of Labor issued the following announcement on July 7.
After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD,) L Squared Investment Group LLC – owner and operator of Morrow’s Restaurant in New Orleans, Louisiana – has paid $35,620 in back wages to 65 employees for violating the minimum wage and overtime provisions of the Fair Labor Standards Act (FLSA).
WHD investigators determined that L Squared Investment Group LLC improperly made uniform and silverware shortage deductions from tipped and non-tipped minimum wage employees which brought their wages below the federal minimum wage. In addition, the employer paid only straight-time rates to misclassified non-exempt cooks who worked overtime hours. The positions affected included servers, bartenders, busboys, dishwashers, food runners and cooks. WHD also found the employer violated FLSA recordkeeping requirements.
“The U.S. Department of Labor is committed to improving federal labor law compliance through education of employers and employees, and enforcement actions,” said Wage and Hour Division District Director Troy Mouton, in New Orleans, Louisiana. “This investigation revealed minimum wage and overtime violations – common in the restaurant industry – which are easily avoidable. Noncompliance can be costly.”
Original source can be found here.