Hospitality Industry Employment Risks: Labor Department Investigation Forces Massachussetts Restaurants To Repay Employees For Back Wages And Incorrect Overtime

“…investigation found that several restaurants “violated the FLSA by paying  employees flat salaries for all hours worked without overtime pay, failing to  combine hours worked at multiple locations for overtime purposes, paying  incorrect overtime rates to tipped employees, making illegal deductions from  employees’ wages and failing to keep accurate records of employees’ hours….”

“…Even  more serious, our investigations found an emerging trend of misclassifying  restaurant workers as independent contractors in order to avoid minimum wage,  overtime and record-keeping requirements of the FLSA.”

Dozens of eateries around the state are paying employees for back wages as a  result of an ongoing enforcement initiative conducted by the U.S. Department of  Labor.

To date, investigations by the Boston District Office of the department’s  Wage and Hour Division have found $1,307,808 in back wages due to 478 employees  of 34 different Massachusetts restaurants.

Fifteen Not Your Average Joe’s locations have been cited, including the one  on Enon Street in Beverly, which is to pay nine employees a total of $44,201.73  in back wages.

The investigation, according to a release by the U.S. Department of Labor,  uncovered significant violations of the minimum wage, overtime and  record-keeping provisions of the Fair Labor Standards Act in many Massachusetts  restaurants.

Read more: Beverly restaurant to pay employees for back wages – Beverly, MA – Beverly Citizen http://www.wickedlocal.com/beverly/newsnow/x221034920/Beverly-restaurant-to-pay-employees-for-back-wages#ixzz1rJqNdvfO

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