Peyton's Place, a fine dining and casual restaurant in Duncan, Oklahoma, recently agreed to pay its servers
$84,864 in back wages after it was found in violation of the Fair Labor Standards Act (FLSA) minimum wage and recordkeeping provisions.
The Department of Labor's Wage and Hour Division recently investigated the establishment and found the employer was not paying 31 of its servers the hourly rate it is required for their time and attendance to supplement the tips earned by waitstaff. The FLSA obligates businesses to pay tipped employees at least $2.13 an hour instead of the standard $7.25 rate for most nonexempt employees. In addition, the WHD investigators claimed the restaurant was not keeping accurate records of the birthdates of employees who were under 18 years old.
"Restaurant workers are among the most vulnerable in the work force. These workers are entitled to receive the wages they have rightfully earned," said Southwest WHD regional administrator Cynthia Watson. "When an employer violates the FLSA, the Labor Department will not hesitate to take appropriate action to ensure workers receive the wages they have earned."
To keep
employee attendance payments in line with FLSA standards, companies can invest in the necessary payroll processing equipment.
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