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March 3, 2022

Department of Labor Recovers $63k for Restaurant Managers Unlawfully Denied Overtime Pay

The Department of Labor recently announced recovery of more than $63,000 on behalf of 17 restaurant managers, who were wrongly denied overtime pay by the operator of seven restaurants in the Fort Wayne, Indiana area. The employer paid its managers salaries, but this pay fell short of the amounts due to these workers under the Fair Labor Standards Act’s overtime provisions.
Home » News » Department of Labor Recovers $63k for Restaurant Managers Unlawfully Denied Overtime Pay

Matthew Purushotham
Thu, 03/03/2022

The Department of Labor recently announced recovery of more than $63,000 on behalf of 17 restaurant managers, who were wrongly denied overtime pay by the operator of seven restaurants in the Fort Wayne, Indiana area. The employer paid its managers salaries, but this pay fell short of the amounts due to these workers under the Fair Labor Standards Act’s overtime provisions. The FLSA requires employers to pay workers time and one-half of their hourly rates for hours worked over 40 in a workweek unless the workers fall within one of the law’s exemptions.

Restaurant managers are often denied overtime pay based on their employers’ incorrect conclusion that because they are labeled as “managers” they do not need to be paid for overtime work. Following an investigation, the Department of Labor’s Wage and Hour Division determined that the managers’ salaries failed to meet the FLSA’s executive exemption requirements.

MSE has worked on behalf of many workers in the restaurant and food service industry to ensure they are properly paid. In addition to wrongful exemption cases, common violations include failure of employers to follow state laws regarding tip credits, and employers not paying employees for all hours of work, and improperly structured tip pools. For more information on MSE’s efforts to secure the wage and hour rights of D.C restaurant and food service workers, visit  https://www.mselaborlaw.com/resources/private-employees/restaurant-and-food-services.

For more information on common wage and hour violations, visit https://www.mselaborlaw.com/resources/common-violations. If you believe your employer has failed to properly compensate you, including failing to pay you time and one-half for hours worked over 40 in a workweek, contact MSE at info@mselaborlaw.com.

Legal Representation for All Workers

When McGillivary Steele Elkin LLP decides to take your case, it is because we believe there is an unacceptable workplace violation that has negatively impacted you or resulted in your employer paying less than what the law requires and which we have a reasonable chance of remedying. We recognize that meritorious claims should not go unremedied because of the level of a person’s resources.

To ensure accessible and available legal representation for all our clients, MSE handles cases through different forms of fee arrangements, including contingency fees, hourly fees and fixed fees.

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