U.S. Department of Labor Investigation Results in Nebraska Restaurant Paying $145,987 in Back Wages and Damages

OMAHA, NE – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), a federal court in Omaha, Nebraska, entered a consent judgment ordering China Palace Inc. and owners and operators – Miao Hui Zhang and Jian Zhang – to pay $145,987 in back wages, liquidated damages and interest to eight current and former employees. Investigators found repeat and willful violations of the minimum wage, overtime, and recordkeeping requirements of the Fair Labor Standards Act (FLSA) at the Omaha restaurant, resulting in the assessment of an additional $8,800 civil money penalty.

WHD investigators found the restaurants, in some instances, failed to cover employees’ hours at the federal minimum wage of $7.25 per hour, and also failed to pay overtime when employees worked more than 40 hours in a workweek. The owners’ failure to record and pay workers for some of the hours worked resulted in additional minimum wage, overtime, and recordkeeping violations.

The restaurant had been previously investigated, and had failed to make any changes to come into compliance with the law.

“Employers must pay their employees all the wages they have legally earned,” said Wage and Hour Division Assistant District Director Richard Tesarek in Omaha. “This employer had a chance to implement changes and failed to do so.”

For more information about the FLSA and other laws enforced by the Division, contact the Division’s toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at https://www.dol.gov/whd including a search tool to use if you think you may be owed back wages collected by WHD.