News Release

US Department of Labor recovers $613K for 46 workers denied minimum wage, overtime by Minnesota restaurant

NY Gyro failed to keep time records, paid overtime as straight time

MINNEAPOLIS – The U.S. Department of Labor has recovered $613,037 in back wages for 46 workers after a federal investigation found a Minnesota restaurant failed to pay minimum and overtime wages as required by law. 

Investigators with the department’s Wage and Hour Division investigated four of the employer’s nine Minnesota locations, and found that Rehman LLC, IN LLC, IQ LLC, and MOON LLC – all operating as NY Gyro – failed to maintain records of hours worked, in violation of the Fair Labor Standards Act’s recordkeeping provisions. In addition, the employer violated wage laws when it paid workers straight-time pay for all hours worked, including those over 40 per workweek, resulting in overtime violations. The division also found a minimum wage violation when NY Gyro paid an employee less than the required $7.25 per hour federal minimum wage.

Workers and employers can call the Wage and Hour Division with questions and requests for compliance assistance at its toll-free helpline, 866-4US-WAGE (487-9243). Employers are encouraged to use the agency’s industry-specific compliance assistance toolkits to learn about their responsibilities under the laws enforced by the division. The agency’s PAID program offers employers an opportunity to self-report and resolve potential minimum wage and overtime violations under the FLSA, as well as certain potential violations under the Family and Medical Leave Act.

Learn more about the Wage and Hour Division, including a search tool that workers can use if they think they may be owed back wages collected by the division. Download the agency’s free timesheet app for iOS and Android devices to track hours and pay.

Agency
Wage and Hour Division
Date
July 28, 2026
Release Number
26-787-CHI
Media Contact: Juan Rodriguez
Media Contact: OPA East Media
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