US Department of Labor recovers $158K in back wages, damages for 14 workers denied tip portions, overtime by Honolulu restaurant

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US Department of Labor recovers $158K in back wages, damages for 14 workers denied tip portions, overtime by Honolulu restaurant

Domo Café Kahala, Domo Café Chinatown assessed $2K in penalties for reckless violations

Employer: Domo Café Kahala and Domo Café Chinatown

Investigation sites: 4346 Waialae Ave., Honolulu, HI 96816

1016 Maunakea St., Honolulu, HI 96817

Investigation findings: A U.S. Department of Labor Wage and Hour Divisioninvestigation found the owner of two Domo Café restaurants in Honolulu and his wife, a manager at the restaurants, illegally retained portions of tips from a tip pool, in violation of the Fair Labor Standards Act. The law prohibits an employer, including managers and supervisors, to keep any portion of tips received by employees.Investigators also discovered the employer failed to pay all overtime owed to one employee.

Wages, Damages Recovered: $72,054 in tips for 14 employees

$79,226 in liquidated damages for 14 workers

$7,172 in overtime wages to one employee

Penalty Assessed: $2,030 in civil money penalties because of the reckless nature of violations.

Quote: "It is critically essential for non-management service staff to be able to retain the entirety of the tips they earn so they can offset living expenses and meet their financial goals," said Wage and Hour Division District Director Terence Trotter in Honolulu. "We urge all employers in the restaurant service sector to review their tip retention policies to ensure compliance with the Fair Labor Standards Act."

Background: Workers can use the division's Workers Owed Wages search tool to see if they are owed back wages collected by the division. Employers and workers can contact the Wage and Hour Division for assistance at its toll-free number, 1-866-4-US-WAGE. Learn more about the Wage and Hour Division, including the agency's restaurants compliance assistance toolkit and an overview about the FLSA protections for restaurant workers. Workers and employers alike can help ensure hours worked and pay are accurate by downloading the department's Android and iOS Timesheet App for free in English or Spanish.

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