Restaurant pays back wages to kitchen employees following investigation
Investigators also found the restaurant didn’t maintain employee work records regarding hours and payments made in cash. The investigation resulted in six kitchen staff employees sharing in an overtime wage payment of $37,177.
A U. S. Department of Labor investigation has led to an Oakland County restaurant paying tens of thousands of dollars in overtime back wages to six employees.
According to a Department of Labor news release, Carrie Lee’s Orion Restaurant, located in Orion Township, was found to have violated the Fair Labor Standards Act by paying f lat monthly salaries — in payroll and cash — to kitchen workers regardless of the number of hours worked. That means those who worked more than 40 hours in a single week hadn’t been paid overtime.
Invest igators also found the restaurant didn’t maintain employee work records regarding hours and payments made in cash. The investigation resulted in six kitchen staff employees sharing in an overtime wage payment of $37,177.
“Employers must accurately pay employees for all the hours that they work, pay overtime for hours over 40 in a workweek to eligible employees and maintain records as required by the law,” Wage and Hour Division District Director Timolin Mitchell in Detroit stated in the news release. “Other employers should use the results of this investigation as an opportunity to review their own pay practices to ensure they comply with the law. We encourage all employers to contact the Wage and Hour Division to fully understand their responsibilities and avoid similar violations.”
The Department of Labor has resources for employers to help them understand responsibilities and to comply with federal law. For more information on the Fair Labor Standards Acts and other laws enforced by the Wage and Hour Division, contact the tollfree helpline at 866- 4USWAGE.