News Release

U.S. Department of Labor Recovers Back Wages For New Orleans, Louisiana, Restaurant Workers

NEW ORLEANS, LA – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD,) L Squared Investment Group LLC – owner and operator of Morrow’s Restaurant in New Orleans, Louisiana – has paid $35,620 in back wages to 65 employees for violating the minimum wage and overtime provisions of the Fair Labor Standards Act (FLSA).

WHD investigators determined that L Squared Investment Group LLC improperly made uniform and silverware shortage deductions from tipped and non-tipped minimum wage employees which brought their wages below the federal minimum wage. In addition, the employer paid only straight-time rates to misclassified non-exempt cooks who worked overtime hours. The positions affected included servers, bartenders, busboys, dishwashers, food runners and cooks. WHD also found the employer violated FLSA recordkeeping requirements.

“The U.S. Department of Labor is committed to improving federal labor law compliance through education of employers and employees, and enforcement actions,” said Wage and Hour Division District Director Troy Mouton, in New Orleans, Louisiana. “This investigation revealed minimum wage and overtime violations – common in the restaurant industry – which are easily avoidable. Noncompliance can be costly.”

Employers that 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 the toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at www.dol.gov/agencies/whd including a search tool for workers who may be owed back wages collected by the division.

WHD’s mission is to promote and achieve compliance with labor standards to protect and enhance the welfare of the nation’s workforce. WHD enforces federal minimum wage, overtime pay, recordkeeping and child labor requirements of the Fair Labor Standards Act. WHD also enforces the Migrant and Seasonal Agricultural Worker Protection Act, the Employee Polygraph Protection Act, the Family and Medical Leave Act, wage garnishment provisions of the Consumer Credit Protection Act and a number of employment standards and worker protections as provided in several immigration related statutes. Additionally, WHD administers and enforces the prevailing wage requirements of the Davis Bacon Act and the Service Contract Act and other statutes applicable to federal contracts for construction and for the provision of goods and services.

The mission of the Department of Labor is to foster, promote and develop the welfare of the wage earners, job seekers and retirees of the United States; improve working conditions; advance opportunities for profitable employment; and assure work-related benefits and rights.

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Agency
Wage and Hour Division
Date
July 7, 2020
Release Number
20-347-DAL
Contact: Chauntra Rideaux
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