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News Release

U.S. Department of Labor Investigation Results in Owner and Operator of Vermont Restaurants Paying $111,092 in Back Wages and Damages to Resolve Overtime Violations

MANCHESTER, NH – After an investigation by the U.S. Department of Labor's Wage and Hour Division (WHD), The Spot LLC – owner of two Burlington, Vermont, restaurants – has paid $55,546 in back wages and an equal amount in liquidated damages to 91 current and former employees to resolve overtime violations of the Fair Labor Standards Act (FLSA). The employer also paid $2,360 in penalties for child labor violations.

WHD investigators found The Spot LLC - operator of The Spot and Spot on the Dock – violated FLSA overtime requirements when it paid employees straight-time rates when they worked more than 40 hours in a workweek. The FLSA requires the employer to pay non-exempt employees an overtime premium of one-and-one-half times their regular rates of pay for any hours they work beyond 40 in a workweek.  

The Spot LLC also employed three 15-year-old workers outside of the hours allowed for that age group by the FLSA. Some youths worked past 11:00 p.m., later than the 9:00 p.m. limit in effect from June 1 through Labor Day, and far beyond the 7:00 p.m. limit in effect from the day after Labor Day through May 31. Minors also worked more than 3 hours on school days, more than 8 hours on non-school days, and more than 18 hours during school weeks, all in excess of what the law allows. The employer also violated recordkeeping requirements by failing to maintain required records documenting a minor employee's date of birth.

"Violating the Fair Labor Standards Act can be very costly for employers that fail to pay employees what they have legally earned," said Wage and Hour Division Northern New England District Director Daniel Cronin. "Ensuring employers comply with the law not only protects workers, it also levels the playing field for employers who are already in compliance. We encourage employers to reach out to us for understanding wage and hour laws."

WHD's Northern New England District Office in Manchester, New Hampshire conducted the investigation.

Employers who discover overtime or minimum wage violations may self-report and resolve those violations without litigation through the PAID program. For more information about the FLSA and other laws enforced by the Division, contact its 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 the Division. Additional information about the requirements of the child labor laws for teens, parents, educators and employers is available at the YouthRules! website.

Agency
Wage and Hour Division
Date
April 29, 2019
Release Number
19-0590-BOS
Contact: Ted Fitzgerald
Contact: James C. Lally
Phone Number
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