Carmichael Restaurant Forced To Pay $167,211 In Back Wage And Fines For Allegedly Breaking Overtime Laws
CARMICHAEL (CBS13) - A Carmichael restaurant is being made to pay back wages and damages after it reportedly didn't pay overtime wages to its employees.
The U.S. Department of Labor is reporting that Lido Bar & Grill in Carmichael didn't record all of the hours its employees worked and broke federal law by not paying them overtime.
In a statement on Friday, the Department said the restaurant either, "paid the cooks a salary with no overtime when they worked more than 40 hours in a workweek or paid overtime hours in cash at straight-time rates."
As a result of the investigation, the Department said was able to recover $81,577 in overtime back pay and $81,577 in damages for seven workers. It also fined the restaurant's owner $4,067 in civil penalties under the Fair Labor Standards Act.
"Restaurant workers provide essential services for the public and support their local economies. Paying workers a salary does not relieve employers of their overtime pay obligations when employees work more than 40 hours in a week," said Wage and Hour Division Assistant District Director Patricia Canites. "Overtime pay violations are all too common in the restaurant industry, and the U.S. Department of Labor is committed to using all tools available – including litigation – against employers who violate the law willfully, hurt workers and their families, and take an unlawful advantage of their competitors that abide by the law."
Workers who would like to file a complaint or have questions can confidentially call the agency's Wage and Hour Division.
Information about the FLSA and other laws enforced by the division can be found through the toll-free helpline: 866-4US-WAGE (487-9243).
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