WHD - Wage and Hour Division

11/21/2024 | Press release | Distributed by Public on 11/21/2024 14:47

US Department of Labor recovers $87K in back wages, damages from New Port Richey restaurant for 21 workers denied minimum wage, overtime

Employer: Central Park Family Restaurant Inc.

7657 State Road 54

New Port Richey, FL 34653

Investigation findings: U.S. Department of Labor Wage and Hour Divisioninvestigators found the restaurant required employees to purchase a uniform shirt, which caused their average weekly wages to fall below the federal minimum wage, a violation of the Fair Labor Standards Act. They also found Central Park used the cash wage rather than the higher Florida state minimum wage to compute servers overtime rate and the employer incorrectly classified some kitchen staff as exempt from overtime. By doing so, the restaurant paid these nonexempt employees a flat weekly salary and did not pay them time and a half for hours worked over 40, a violation of the FLSA overtime requirements.

Back wages and liquidated damages recovered: The division recovered $87,118 in back wages and liquidated damages for 21 workers.

Quote: "Paying a salary does not automatically excuse employers from their obligation to pay employees required overtime wages. Failure to pay overtime correctly continues to be a common violation among restaurant industry employers," said Wage and Hour Division District Director Nicolas Ratmiroff in Tampa, Florida. "Employers who are unsure of their legal obligations should contact their local Wage and Hour Division office for assistance."

Background: Employers can contact the Wage and Hour Division at its toll-free number, 1-866-4-US-WAGE. Learn more about the Wage and Hour Division, including its search tool to learn if you are owed back wages collected by the division. Workers and employers alike can help ensure hours worked and pay are accurate by downloading the department's Android and iOS Timesheet App available for free in English or Spanish.