Mass. restaurant owner has to compensate employees
A violation of federal and state labor laws, including time and attendance components of the Fair Labor Standards Act, has led to a Mass. restaurant owner being liable for $100,000 in restitution.
The business owner deducted break time from employee pay even though rest periods weren't taken and took automatic meal deductions from worker compensation even though meals weren't taken, according to news source The Raw Story. The employer also made wait staff pay for meals of customers who left without settling their bills.
Another infraction involved an illegal tip pool, in which servers had to share their gratuities with kitchen and back-of-house staff. Tip pooling is allowed under the FLSA, but such arrangements must be voluntarily entered into by employees and cannot include other workers who do not customarily receive tips.
The Massachusetts Attorney General reached the six-figure settlement with the company instead of engaging in a lawsuit. Workers will be compensated based on how long they had worked at the restaurant, with awards ranging from $40 to more than $1,700.
Along with a review of labor law, businesses can use attendance tracking software to correctly record employee shifts, break time, tips earned and more.
All data and information provided on this news blog is for informational purposes only. Infinisource makes no representations as to accuracy, completeness, suitability, or validity of any information on this site and will not be liable for any errors, omissions, or delays in this information or any losses, injuries, or damages arising from its display or use. All information is provided on an as-is basis. Information regarding employment suits and other legal action is not updated after publication, and may not be current.