Two New Hampshire restaurants ordered to pay more than $890,000 dollars in back wages and damages after an investigation into allegations of numerous violations of the Fair Labor Standards Act revealed that employees were only tipped.
An investigation of the US Department of Labor found that La Carreta-Derry Inc. restaurant in Derry and La Carreta-Londonderry LLC in Londonderry, doing business as La Carreta Mexican Restaurant, and Heriberto Leon violated minimum wage requirements, overtime and record keeping.
And it is that in these restaurants they only paid tips to the waiters, in addition to not paying them overtime and not keeping track of the hours that the employees worked.
Restaurants will have to pay $445,085 dollars in back wages and other $445,085 dollars in damages to 63 employees based on the results of the investigation.
The ruling also requires restaurants to maintain anti-retaliation, security, and recordkeeping requirements in accordance with federal labor laws, and they will have to work with investigators to provide the necessary records and documents.
“Pay restaurant workers overtime for their overtime hours and require servers to work only for tips without salaries in cash, it’s just wage theft,” said Steven McKinney, district director of the Wage and Hour Division in Manchester, New Hampshire, according to NBC Boston.
“Although we often encounter these types of violations in the restaurant industry, these violations can be easily prevented if employers know and understand the requirements of the Law of Standards. Fair Borals. We encourage you to contact us if you have questions about your responsibilities under the law,” McKinney added.
The case has been under investigation since December 2020.
Workers who have concerns about their salary or other labor questions can confidentially contact the Department of Labor’s Wage and Hour Division at 866-4US-WAGE (445-9243).
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