Julie Su Acting United States Secretary of Labor | Official Website
The U.S. Department of Labor has recovered $307,770 in back wages and damages for 23 employees of Asian Restaurant Group Inc., which operates two Max’s of Manila restaurants in Hawaii. The investigation by the Wage and Hour Division found that the restaurant owners failed to pay kitchen staff the required overtime rates for hours worked over 40 in a workweek, violating the Fair Labor Standards Act (FLSA).
The employer had been paying kitchen employees a fixed salary, excluding them from overtime pay regardless of their actual hours worked. Additionally, investigators discovered that a manager was unlawfully taking a portion of employees' tips, which is prohibited under federal law.
The breakdown of recovered funds includes $153,885 in overtime wages and an equal amount in liquidated damages for the affected employees. The employer also faces $8,418 in civil money penalties due to the reckless nature of these violations.
"Many restaurant employers in Hawaii and elsewhere in the nation continue to shortchange workers and deprive them of their hard-earned wages," said Wage and Hour Division District Director Terence Trotter in Honolulu. "The restaurants failing to pay employees in compliance with the law will pay a hefty price in back wages due plus liquidated damages. We are determined to protect workers and stop these illegal practices."
Workers can use the division’s Workers Owed Wages search tool to check if they are owed back wages collected by the division. Employers and workers can contact the Wage and Hour Division for assistance at its toll-free number, 1-866-4-US-WAGE. Additional resources include a compliance assistance toolkit for restaurants and an overview of FLSA protections for restaurant workers. The department also offers a free Timesheet App available on Android and iOS devices to help ensure accurate tracking of hours worked and pay.
