U.S. Department of Labor Investigation Results in Enforcement Action Against Texas Restaurant Operator

HOUSTON, TX – After an investigation by the U.S. Department of Labor’s Wage and Hour Division, DC Broadway Inc. – operator of Don Carlos Mexican Restaurants – will pay $97,080 in back wages and an equal amount in liquidated damages to 24 employees to resolve violations of the overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

Investigators found that when employees worked at more than one of the employer’s locations in the same workweek, DC Broadway failed to combine those hours to determine if the employee had worked more than 40 hours total, requiring overtime payment. The employer also violated recordkeeping provisions when it failed to maintain a record of the hours worked by one part-time employee who was paid a flat rate.

“Employers that pay employees less than what they have legally earned short change their workers and gain an unfair advantage over competitors that abide by the law,” said Betty Campbell, Southwest Regional Administrator for the Wage and Hour Division. “We are committed to helping employers understand their obligations, and encourage employers and employees alike to reach out to us for guidance or assistance.”

Workers and employers with questions about the FLSA or any of the federal wage laws administered by the Division should call the agency’s toll-free helpline at 866-4US-WAGE (487-9243). All calls are confidential.

More information is available online at http://www.dol.gov/whd/.