Three Shogun Japanese Steakhouse restaurants agree to pay 67 employees $275K in back wages and damages for improper pay practices

Employer name: Shogun Japanese Steakhouse Inc., and Shogun Japanese Steakhouse of Louisville Inc.

Investigation site: 3991 University Drive, Huntsville, Alabama, 4110 Hampton Lake Way and 9026 Taylorsville Road, Louisville, Kentucky

Investigation findings: The Wage and Hour Division Louisville and Gulf Coast District Offices initiated investigations under the Fair Labor Standards Act and found several violations of the minimum wage, overtime and recordkeeping provisions. The employer paid a day rate or weekly salary to a number of employees, that when divided by the hours the employees actually worked, provided less than the current federal minimum wage of $7.25 per hour. The firm failed to pay non-exempt employees time plus one-half their regular rate for hours worked over 40 in a work week, and did not keep accurate records of employees hours worked.

Resolution: The employer has agreed to pay $137,500 in back wages and an equal amount in liquidated damages for a total of $275,000 to 67 employees at the three locations list above as well as several location that are currently closed. Additionally, the employer also agreed to comply with the FLSA and other federal laws in the future and will provide all current employees with a copy of agency's fact sheet Prohibiting Retaliation Under the Fair Labor Standards Act in a language the workers understand.

Quote: "Paying low-wage workers less than they are legally due makes it difficult for them to meet their financial obligations and can result in decisions like paying an electric bill or feeding their children," said Karen Garnett, director of the division's Louisville District Office. "Unfortunately, these types of labor violations are all too common in the restaurant industry. That's why we are committed to protecting restaurant workers and ensuring they receive all the wages to which they are legally entitled."