Washington Restaurants Ordered to Pay $750K in Back Wages

The U.S. Department of Labor has secured a federal consent judgment requiring four Washington-based restaurants to pay $750,000 in back wages and damages to 42 workers after an investigation uncovered minimum wage and overtime violations of the Fair Labor Standards Act.

Entered in the U.S. District Court for the Eastern District of Washington, the order comes after the department’s Wage and Hour Division found Nolberto and Guillermina Rodríguez, owners of Blanco Inc. and Mi Rancho Chico Inc., doing business as Rancho Chico in Spokane, Colville, and Omak, failed to pay employees required overtime of time and one-half their regular rate of pay for all hours worked over 40 in a workweek.

Additionally, Rancho Chico paid some nonexempt employees on a salaried basis for all hours worked, which led to earnings below the federal minimum wage of $7.25 per hour. In addition, the investigation found that Rancho Chico engaged in unlawful retaliation after terminating an employee who filed a wage complaint.

Following the investigation, the Rodríguezes agreed to pay back wages to the 42 employees but ultimately failed to pay the amounts owed. This led the department’s Office of the Solicitor and the U.S. Attorney’s Office for the Eastern District of Washington to pursue a federal court order to compel payment of the back wages and damages.

Under the consent judgment, Rancho Chico and the Rodríguezes must pay $750,000.00 in back wages and damages and comply with federal labor laws moving forward, including properly paying employees for all hours worked, maintaining accurate records, and refraining from retaliating against workers who exercise their rights.

Source: U.S. Department of Labor

Topics Washington