Restaurant pays nearly $113K in tips, back wages and damages to 120 employees following U.S. Labor Department investigation in Hawaii

Employer: Calmaui Inc., doing business as Pineapple Grill at Kapalua

Site: 200 Kapalua Dr., Lahaina, Hawaii 96761

Investigation findings: Investigators from the Wage and Hour Division in Honolulu found that the cash wages of tipped employees were reduced below the minimum wage of $7.25 per hour while the servers were unlawfully required to pay a portion of their tips to the kitchen staff that was already paid at or above the full minimum wage. Additionally, investigators found that servers were required to report to the restaurant before the start of their evening shifts to clean glassware, fill up salt and pepper shakers, and polish the silverware without compensation.

Resolution: The employer has paid $112,980 in tips, other back wages, and liquidated damages to 120 employees for the violations found under the Fair Labor Standards Act.

Quote: "Employers must count and pay for all hours worked by employees, including required duties that occur before and after the servers' scheduled shift," said Terence Trotter, the division's district director in Honolulu. "The Fair Labor Standards Act also prohibits any arrangement between employers and tipped employees where any part of the tip received from the customer becomes the property of the employer."

Information: For more information about federal wage laws administered by the Wage and Hour Division, call the agency's toll-free helpline at 866-4US-WAGE (487-9243), or the Honolulu office at 808-541-1361. Information is also available at http://www.dol.gov/whd/.