Two employees of restaurant chain Steak 'n Shake recently filed a class action lawsuit against the company in a Georgia federal court, alleging it failed to comply with federal time and attendance regulations.
The suit, filed by Justin Beecher and Priscilla Cain, contends the Indianapolis-based chain deliberately disregarded the minimum wage standards outlined in the Fair Labor Standards Act by illegally adjusting tip amounts. The company is also accused of instructing its restaurant managers to doctor
employee attendance records in order to avoid paying workers at a time-and-a-half rate for hours that exceeded 40 in one week.
"If these allegations prove true in a court of law, it will demonstrate that Steak 'n Shake has seriously violated labor laws," said employment lawyer Eric Grover. "Editing (
timeclock records) is illegal and unethical. All employees should receive compensation that reflects the overtime they work."
Last year, Georgia-based restaurant chain Huddle House agreed to pay more than $60,000 in back wages to 128 employees following a Department of Labor investigation that uncovered widespread FLSA noncompliance at some of the chain's Georgia, Missouri and West Virginia locations.
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