U.S. Department of Labor recovers $37K for workers denied overtime in Texas restaurants

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Julie Su Acting United States Secretary of Labor | Official Website

U.S. Department of Labor recovers $37K for workers denied overtime in Texas restaurants

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The U.S. Department of Labor has recovered $37,000 for 19 workers who were denied overtime at two restaurants in the Rio Grande Valley. The employer named in the case is Blanca Rosa Amezcua, trading as Taqueria Tepeque #1, and Taqueria Tepeque LLC, trading as Taqueria Tepeque #2.

The investigation took place at two locations: Taqueria Tepeque #1 at 701 E. Nolana Loop, Suite 3A in Pharr, TX 78577 and Taqueria Tepeque #2 at 3700 W. Dove Suite 700 in McAllen, TX 78504.

Investigators from the U.S. Department of Labor's Wage and Hour Division found that both establishments, owned by Blanca Rosa Amezcua and her daughter Jaqueline Chacon respectively but managed by Amezcua herself, violated federal law by paying hourly wages to cooks, waiters and non-exempt supervisors for all hours worked without paying an extra 50% per hour beyond 40 hours in a workweek. Additionally, the employers failed to maintain federally required records.

In 2023 alone, the division found that over $29 million was owed to nearly 26,000 food service sector workers. On January 10th of this year, the department published a final rule which came into effect on March 11th that adjusted department guidelines on determining who is an employee and who is an independent contractor under the Fair Labor Standards Act.

As a result of these findings, $37,329 was paid out in back wages and damages to the affected employees.

“Employers are legally responsible for accounting for and paying employees for all hours worked including payment of an extra 50% per hour beyond a 40-hour workweek,” said District Director Cynthia Cantu-Flores in McAllen Texas. “Employers are responsible for knowing the law and complying with it. The U.S. Department of Labor offers many online resources that explain employer obligations and worker rights.”

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