On April 25, 2024, the U.S. Department of Labor (DOL) announced that it recovered $245,722 in back wages and damages for 10 cooks at four Northern California Pho restaurants. Investigators found that the owner and operator of the four restaurants knowingly denied the cooks their required overtime and minimum wages. Allegedly, the owner intentionally paid the workers a flat salary, which is illegal under both the federal and California law.
The investigation also found that the employer altered payroll records to make it look like the employer followed the law and the workers worked fewer hours.
The DOL required the employer to pay $122,861 in unpaid overtime and minimum wages and an equal amount of $122,861 in liquidated damages. Additionally, the DOL assessed $8,330 in civil penalties against the employer for intentional violations.
(See Link(s): California Labor Code Sections 1194 and 1119.4; 29 USCA Sections 206 and 207; https://www.dol.gov/newsroom/releases/whd/whd20240425-0)