Senor Fish flops on overtime pay standards

Senor Fish, a Southern California-based restaurant chain, was recently subject to an investigation by the U.S. Department of Labor's Wage and Hour Division. The restaurant chain was asked to pay employees nearly $90,000 in back wages as a result of Fair Labor Standards Act (FLSA) violations of overtime and recordkeeping provisions.

Specifically, the Wage and Hour Division discovered the employer was underpaying 74 employees at five locations in Los Angeles, South Pasadena, Eagle Rock, Duarte and Alhambra. Rather than paying employees the premium pay rates (time-and-a-half) they were owed for overtime hours worked, employers issues standard wages, or straight time. Moreover, the locations were not keeping accurate accounts of cash wages paid to employees.

It's important for restaurants, and other employers who staff tipped employees, to keep accurate records of all wages paid. The FLSA requires these employees receive at least minimum wage for all of their time and attendance when they combine their gratuity and hourly pay rate - $2.13 an hour.

"We want to send a message to those employers in violation of the law that they cannot run their businesses at the expense of their employees' pay," said Priscilla Garcia, director of the division's West Covina District Office.