Employer:                                          Zapopan Mexican Food

Investigation site:                              14207 Palm Drive Suite 102

Desert Hot Springs, CA 92240

Investigation findings:                      U.S. Department of Labor Wage and Hour Division investigators found Zapopan Restaurants Inc. – operating as Zapopan Mexican Food – paid employees regular hourly rates instead of the overtime premium for hours over 40 in a workweek, as required. The employer also failed to keep accurate records, also a violation of the Fair Labor Standards Act.

Back Wages Recovered:                   $41,239 in overtime back wages for 11 employees

                                                            $41,239 in liquidated damages for 11 employees

Quote: “The U.S. Department of Labor is determined to protect workers’ rights to receive all their earnings as required by law, including overtime pay, and prevent employers from shortchanging their employees,” said Wage and Hour Division Assistant District Director Skarleth Kozlo in West Covina. “We encourage workers to download the Timesheet App, now also available for Android devices, to ensure hours and pay are accurate.”

Background: In fiscal year 2021, the Wage and Hour Division recovered more than $31.7 million in back wages for workers in the food service industry. The division also offers numerous online resources for employers, such as a fact sheet on Fair Labor Standards Act wage laws overtime requirements.

Employers and workers can call the division confidentially with questions regardless of their immigration status. The department can speak with callers in more than 200 languages through the agency’s toll-free helpline at 866-4US-WAGE (487-9243). Learn more about the Wage and Hour Division, and its search tool if you think you may be owed back wages collected by the division.

Read this news brief in Spanish.

FORT WAYNE, IN – A U.S. Department of Labor investigation has found an Indiana provider of home healthcare services violated federal law when it failed to pay workers for time spent driving between clients’ homes, leading to the department’s recovery of $126,162 in back wages for 95 workers.

Investigators with the department’s Wage and Hour Division determined that the failure of SHAS Inc. – which operates as Sunshine Home Health Care – to record and pay for travel time resulted in minimum wage, overtime and recordkeeping violations of the Fair Labor Standards Act.

“All too often, we find healthcare industry employers with systemic violations ­­– like failing to pay for employee’s time traveling between jobs accurately ­– that deprive workers of all their hard-earned wages and benefits,” said Wage and Hour Division District Director Patricia Lewis in Indianapolis. “Healthcare workers provide skilled nursing and assistance with essential daily living tasks and enable thousands of Americans to remain in the comfort of their own homes.”

Investigators determined the Fort Wayne employer violated the FLSA by doing the following:

• Failing to pay workers for travel time between client’s home which led some workers to be paid less than minimum wage per hour worked.
• Applying overtime rules for salaried employees incorrectly, and denying workers overtime wages due.
• Not maintaining an accurate record of hours worked.

In April 2022, the Bureau of Labor Statistics reported that the 673,000 healthcare and social services workers left their positions and the field had more than 2 million openings. As the aging U.S. population grows and demand for home healthcare services increases, employment in a variety of healthcare sectors is projected to grow 16 percent from 2020 to 2030 – faster than the average for all occupations – adding about 2.6 million new jobs.

“As industry employers struggle to find people to fill the jobs needed to remain competitive, they must take into account that retaining and recruiting workers is more difficult when employers fail to respect workers’ rights and pay them their full wages,” Lewis added.

For more information about the FLSA and other laws enforced by the Wage and Hour Division, contact the division’s toll-free helpline at 866-4US-WAGE (487-9243).

Learn more about the Wage and Hour Division, including a search tool to use if you think you may be owed back wages collected by the division. Download the agency’s new Timesheet App for Android devices to ensure hours and pay are accurate.

NORFOLK, VA – The U.S. District Court for the Eastern District of Virginia has issued a preliminary injunction against a Chesapeake home healthcare provider to prevent the employer from obstructing a U.S. Department of Labor investigation, retaliating against employees who cooperate with investigators and  demanding kickbacks of back wages assessed by the department’s Wage and Hour Division.

The court’s action also requires Heavenly Hands Home Healthcare LLC to provide the department with payroll records – including time and attendance records from July 10, 2018 through the present – and provide notice to all employees regarding their rights under the Fair Labor Standards Act, including their right to speak to investigators without repercussion. In addition, the employer may not ask current or former employees whether they spoke to the department’s representatives.

“Workers must feel empowered to step forward to complain whenever employers deny them wages they have earned – the law prohibits retaliation or intimidation for speaking up,” said Wage and Hour Division District Director Roberto Melendez in Richmond, Virginia.

The injunction is the latest move by the department following the Wage and Hour Division’s determination that Heavenly Hands Home Healthcare denied its workers overtime payments and failed to maintain appropriate records of hours worked from at least July 10, 2019, through July 7, 2021. In response, the employer agreed to pay $413,382 back wages and liquidated damages to at least 37 employees and comply with the FLSA.

Heavenly Hands then submitted timely proof of payment of back wages and liquidated damages owed, which the employees purportedly signed. Further investigation found the employer had falsified employees’ signatures on official forms attesting to receipt of payment, failed to pay their employees back wages and liquidated damages, and forged payroll records to show proofs of payment. Investigators also learned the employer threatened employees and engaged in a campaign to dissuade them from speaking with the department’s representatives.

On June 1, 2022, the department initiated an enforcement action in federal court against Heavenly Hands and Lauren Wilson, its sole owner and operator. In its filing, the department asked the court to enforce the workers’ rights under the FLSA and to recover wages owed as a result of the employer’s failure to pay the wages owed to the workers properly. A motion for a temporary restraining order and preliminary injunction was also filed to prohibit retaliation against current and former employees.

View the complaint and temporary restraining order.

“This enforcement action should serve as a reminder to employers who disregard the law by shirking their obligations to pay employees their proper wages. Retaliation and intimidation against workers are wrong and they are unlawful,” said Regional Solicitor Oscar L. Hampton III in Philadelphia. “An employer cannot terminate or discriminate against an employee because they exercised their right to file a complaint, institute a proceeding under the Fair Labor Standards Act, or testify or agree to testify in any such proceeding against their employer. We will prosecute these cases to the full extent of the law.”

If you have any information regarding Heavenly Hands Home Healthcare LLC or are a former or current employee of the company, please contact the agency’s toll-free helpline at 866-4US-WAGE (487-9243) or the Wage and Hour Division’s Richmond District Office at 804-771-2995. 

Learn more about the Wage and Hour Division here, including a search tool to use if you think you may be owed back wages collected by the division. The Division protects workers regardless of immigration status and can communicate with workers in more than 200 languages. Download the agency’s new Timesheet App for android devices to ensure hours and pay are accurate.      

# # #

Walsh v. Heavenly Hands Home Healthcare, LLC, and Lauren Wilson

Civil Action No. 2:22-cv-00237-AWA-LRLVAED

INDIANAPOLIS – Overtime wages owed to 215 security professionals who patrol Indianapolis International Airport’s grounds, guard local businesses, and provide round-the-clock traffic control in the area were paid following an investigation and litigation by the U.S. Department of Labor.

As required by a June 7, 2022 consent judgment entered in the U.S. District Court for the Southern District of Indiana,  Protection Plus Inc. and employer Raymond Stanley paid $185,459 in wages and an equal amount in liquidated damages to the Department of Labor for distribution to the workers. The employer  also paid a civil money penalty of $69,540 for knowingly violating federal wage laws. Similar violations by the Indianapolis company were found in 2018.

The court’s action follows the department’s complaint filed on May 11, 2022.

An investigation by the department’s Wage and Hour Division found that Protection Plus did not pay any overtime premium to some employees for hours over 40 in a workweek. When the firm did pay overtime, they failed to accurately compute overtime due when employees received two or more rates of pay for different jobs performed in the same work week. Protection Plus also failed to maintain accurate payroll records. Their actions violated the Fair Labor Standards Act.

In 2018, the company paid 158 workers $98,949 in overtime back wages and liquidated damages to 158 employees. They also paid $25,000 in civil money penalty for the willful nature of their violations.

“The company did not change their pay practices after our 2018 investigation and did not pay employees the wages they were due,” explained Wage and Hour District Director Patricia Lewis in Indianapolis. “Employers must understand these failures hurt workers and their families by denying them the wages they count on to meet their needs. These illegal practices may damage their ability to retain and recruit the workers required for their operations.”

In fiscal year 2021, the division recovered more than $6 million in back wages for more than 5,300 workers in the guard services industry, ranked among the division’s top 15 low-wage, high violation industries.

“The Wage and Hour Division will continue to hold employers accountable and take appropriate action, including litigation, on behalf of workers when their employer denies them the wages they have rightfully earned,” Lewis added.

For more information about the FLSA and other laws enforced by the Wage and Hour Division, contact the division’s toll-free helpline at 866-4US-WAGE (487-9243). Learn more about the Wage and Hour Division, including a search tool to use if you think you may be owed back wages collected by the division. Download the agency’s new Timesheet App for android devices to ensure hours and pay are accurate.

Walsh V. Protection Plus Inc. and Raymond Stanley,

Case 1:22-cv-00919-JMS-MJD

United States District Court Southern District of Indiana, Indianapolis Division

Employer name:                    Maw’s CPS SA LLC

                                                         (Operating as Charley’s Philly Steaks)

Investigation site:                  4001 Sunset Blvd.

                                                          San Angelo, TX 76904

Investigation findings: The U.S. Department of Labor’s Wage and Hour Division found Maw’s CPS SA LLC – operating as Charley’s Philly Steaks in San Angelo, Texas – did not pay overtime to three employees, in violation of the Fair Labor Standards Act. The employer instructed the workers to clock out after the regular closing time, but made them stay to continue working. Charley’s Philly Steaks also violated child labor standards by allowing five minors to work more than the number of hours, and past specific times federal law allows. Investigators also found the employer in violation of child labor prohibited occupations when it regularly allowed one minor to use a deep fryer.

Back wages recovered:         $3,184 in overtime back wages

                                                           $3,184 in liquidated damages

                                                           $3,786 in assessed civil money penalties                                                                                             

Quote: “This young workforce is providing high demand services to all of us. The federal child labor laws were enacted to ensure that when young people work, the work is safe and does not jeopardize their health, well-being or educational opportunities,” said Wage and Hour District Director Nicole Sellers in Austin. “Violating a worker’s right to get paid what they earned and putting minors in danger is not only illegal, it leaves a negative impression of the workforce on our youth in our community. This is most critical in a period when employers struggle to find a much-needed workforce.”

Editor’s note: The earlier release identified the employer’s business in Austin when, in fact, it is located in San Angelo. In addition, the word “young” was removed from the headline as the underpaid workers were adults.

WASHINGTON – The U.S. Department of Labor’s Wage and Hour Division is asking Maine’s building construction industry to participate in a survey to help the agency establish prevailing wage rates, as required under the Davis-Bacon and Related Acts (DBRA).

Not limited to federally funded construction projects, the survey includes active building construction projects in all metropolitan counties in Maine between March 1, 2021 and April 30, 2022.

The DBRA directs the department to set prevailing wage rates that reflect the actual wages and fringe benefits paid to construction workers in the county where the work takes place. The department encourages all stakeholders to participate in the survey. Full participation by contractors and interested parties is key to the establishment of accurate prevailing wages and the development of complete wage determinations. Accurate wages and complete determinations also reduce the need for contractors to request additional labor classifications.

The division will send notification letters and WD-10 data collection forms to interested parties and contractors known to the agency. To be included, please postmark all data submissions by Oct. 14, 2022. Contractors and other interested parties do not need to receive a letter to participate in the survey. The survey can also be completed online. Learn more about the surveys. If you would like to participate, or have questions regarding the survey process and forms, please contact LaDonna Vick at vick.ladonna@dol.gov.

The division will host briefings to provide information on the survey process as well as instructions for completing WD-10 data collection forms. These events will be held online and there is no cost to attend. They are currently scheduled for July 12 and July 14, 2022. Register to attend an upcoming briefing. 

MANCHESTER, NH – The U.S. Department of Labor’s Wage and Hour Division has recovered $123,750 in back wages and liquidated damages for 40 workers of a Hampton Beach clothing retailer after finding the employer paid some employees cash off the books and paid straight time for overtime for hours over 40 in a workweek.

Investigators found that the employer, The Shirt Factory of Hampton Beach LLC – which operates as The Shirt Factory – also failed to pay one worker wages for nearly a month.

The division determined the employer also did not keep accurate payroll and time records for employees paid in cash. The violations of the overtime, minimum wage and recordkeeping requirements of the Fair Labor Standards Act affected low-wage retail workers at five Hampton Beach locations.

The investigation into The Shirt Factory’s illegal pay practices recovered $59,247 in overtime back wages and $2,628 in minimum wage back wages, plus equal amounts in liquidated damages. The division assessed a $18,510 civil money penalty due to the violations’ willful nature.

“All too often, the U.S. Department of Labor finds overtime violations like these in resort areas. These violations affect hard-working, seasonal and low wage workers. These workers can least afford the loss,” said Wage and Hour Division District Director Steven McKinney in Manchester, New Hampshire. “As summer begins, we encourage seasonal business establishments, such as retail clothing sellers, restaurants and hotels to contact the Wage and Hour Division to ensure they understand their obligations under the Fair Labor Standards Act.”

The Shirt Factory operates as one enterprise out of five addresses at Hampton Beach under two LLCs. The investigation includes the following businesses: The Shirt Factory of Hampton Beach LLC; doing business as The Shirt Factory, Impressions Beachwear, Extreme Beachwear; and Mohab’s Decalomania LLC, doing business as Maggie’s Beachwear and Fashion City.

Workers can call the Wage and Hour Division confidentially with questions – regardless of their immigration status – and the department can speak with callers in more than 200 languages.

For more information about the FLSA or other laws enforced by the division, contact the agency’s toll-free helpline at 866-4US-WAGE (487-9243). Learn more about the Wage and Hour Division and a search tool to use if you think you may be owed back wages collected by the division.

MORTON, MS – Work in a poultry processing plant is hard: the hours are often long and the jobs expose workers to serious safety and health hazards. In return for subjecting themselves to high noise levels, dangerous equipment, slippery floors, hazardous chemicals and biological dangers, and the common risks of musculoskeletal disorders, a Mississippi worker’s mean annual wage is less than $30,000.

Employers at two Morton processing plants made the jobs of 313 workers that much harder by denying them minimum wage and overtime pay, a U.S. Department of Labor investigation has found.

Investigators with the department’s Wage and Hour Division have determined that A & B Foods and PH Food failed to comply with the Fair Labor Standards Act when the employers:

• Made illegal deductions that reduced employees’ average hourly pay below the federal minimum wage.
• Failed to pay the correct overtime rate to some workers for hours over 40 in workweek. The employer calculated the overtime rate based on an incorrect average hourly rate because of illegal deductions.
• Paid some workers a straight-time rate for overtime hours worked.
• Did not include bonuses into the rate of pay when calculating overtime rates.
• Instructed some workers to refrain from clocking in, leading to unpaid hours.
• Failed to maintain records of workers’ hours worked.

As a result of the investigations, the division has recovered $285,848 in back wages for 313 workers.

“Families across the country depend on food industry workers to put meals on their tables, and these workers deserve to be paid all of their rightful wages,” said Wage and Hour Division District Office Director Audrey Hall in Jackson, Mississippi. “Unfortunately, the people affected by the violations in this case work in an industry where wages are low and violations are all too common. The U.S. Department of Labor is committed to protecting their rights and ensuring that they receive all of the hard-earned wages they rely on to make ends meet.”

On May 9, 2022, following the investigations, division representatives met with workers from the two poultry processing plants to present them with their back wages owed. A majority of the affected workers have been notified, but the division is still trying to find more than 40 workers who the division has found are owed wages. Workers can use a search tool if they think they may be owed back wages collected by the division, or call the division confidentially at 866-4US-WAGE (487-9243).

In addition, the U.S. Department of Labor maintains the “Employment, Education and Outreach” hotline to aid Spanish-speaking employees and employers regarding workplace rights and responsibilities. The EMPLEO alliance is a collaboration of community and nongovernmental organizations, including state, local, and federal agencies and Hispanic consulates. Workers and employers can reach EMPLEO by calling (877) 522-9832 or (877) 55-AYUDA.

Learn more about Wage and Hour Division.

Lea este aviso en Español.  

INDIANAPOLIS – Overtime wages owed to 215 security professionals who patrol Indianapolis International Airport’s grounds, guard local businesses, and provide round-the-clock traffic control in the area were paid following an investigation and litigation by the U.S. Department of Labor.

As required by a June 7, 2022 consent judgment entered in the U.S. District Court for the Southern District of Indiana,  Protection Plus Inc. and employer Raymond Stanley paid $185,459 in wages and an equal amount in liquidated damages to the Department of Labor for distribution to the workers. The employer  also paid a civil money penalty of $69,540 for knowingly violating federal wage laws. Similar violations by the Indianapolis company were found in 2018.

The court’s action follows the department’s complaint filed on May 11, 2022.

An investigation by the department’s Wage and Hour Division found that Protection Plus did not pay any overtime premium to some employees for hours over 40 in a workweek. When the firm did pay overtime, they failed to accurately compute overtime due when employees received two or more rates of pay for different jobs performed in the same work week. Protection Plus also failed to maintain accurate payroll records. Their actions violated the Fair Labor Standards Act.

In 2018, the company paid $98,949 in overtime back wages and liquidated damages to 158 employees. They also paid $25,000 in civil money penalty for the willful nature of their violations.

“The company did not change their pay practices after our 2018 investigation and did not pay employees the wages they were due,” explained Wage and Hour District Director Patricia Lewis in Indianapolis. “Employers must understand these failures hurt workers and their families by denying them the wages they count on to meet their needs. These illegal practices may damage their ability to retain and recruit the workers required for their operations.”

In fiscal year 2021, the division recovered more than $6 million in back wages for more than 5,300 workers in the guard services industry, ranked among the division’s top 15 low-wage, high violation industries.

“The Wage and Hour Division will continue to hold employers accountable and take appropriate action, including litigation, on behalf of workers when their employer denies them the wages they have rightfully earned,” Lewis added.

For more information about the FLSA and other laws enforced by the Wage and Hour Division, contact the division’s toll-free helpline at 866-4US-WAGE (487-9243). Learn more about the Wage and Hour Division, including a search tool to use if you think you may be owed back wages collected by the division. Download the agency’s new Timesheet App for android devices to ensure hours and pay are accurate.

Walsh V. Protection Plus Inc. and Raymond Stanley,

Case 1:22-cv-00919-JMS-MJD

United States District Court Southern District of Indiana, Indianapolis Division

HONOLULU – A federal investigation has recovered $117,710 in back wages and liquidated damages for 70 workers of a restaurant group in Hawaii that required servers to share their tips with managers, after the employer reduced managers’ salaries by at least 25 percent. The restaurant operators attempted to make up for the reduction in managers’ salaries by drawing from tipped workers’ wages, in violation of the Fair Labor Standards Act.

The U.S. Department of Labor’s Wage and Hour Division found that D.K. Restaurant Group – operator of  Sansei Seafood Restaurants and Sushi Bars in Kapalua, Kihei and Waikoloa; and D.K. Steak House in Honolulu – reduced the managers’ salaries when it reopened the restaurants after a temporary closure forced by the pandemic.

In addition to $58,855 in back wages plus an equal amount in damages, the department assessed D.K. Restaurant Group $8,580 in penalties for the willful nature of its violations.

“Customers tips to restaurant staff for good service are the private property of those workers in the tip pool, such as servers, bartenders and other front-line workers. Any attempt by management to misuse a portion of these tips violates tipped workers’ wage rights,” explained Wage and Hour Division District Director Terence Trotter in Honolulu. “The U.S. Department of Labor is determined to protect workers’ right to keep all their earnings and prevent employers from gaining a competitive advantage by reducing their labor costs.”

In fiscal year 2021, the Wage and Hour Division recovered more than $31.7 million in back wages for workers in the food service industry. The Bureau of Labor Statistics projects there were more than 1.3 million job openings in the accommodations and food service industry in April 2022, and reports that overall employment of food and beverage serving, and related workers is projected to grow 17 percent from 2020 to 2030, much faster than the average for all occupations.

“As restaurant operators struggle to find sufficient staff to do the work needed to operate their businesses, employers who deny workers their full wages and other legal rights are likely to have difficulty retaining and recruiting workers,” Trotter added.

Employers and workers can call the division confidentially with questions regardless of their immigration status. Download the agency’s new Timesheet App for Android devices to ensure hours and pay are accurate. The department can speak with callers in more than 200 languages through the agency’s toll-free helpline at 866-4US-WAGE (487-9243). Learn more about the Wage and Hour Division, and its search tool if you think you may be owed back wages collected by the division.