New York Restaurant Wage Theft Scheme Results in Jail Time
FLSA rules on New York overtime pay and, then, conspired to hide theft of the wages earned and deserved by employees. Similar charges are multiplying in fast-food, casual dining, and fine eateries across the state of NY and the entire country. Wage theft simplified You don’t often see defendants in such cases being sentenced to jail. However, plaintiffs are increasingly vocal and successful in their claims. They understand “wage theft” to be clear and sometimes criminal in situations where:One Papa John’s franchisee will serve two months in a New York jail for wage theft and attempts to cover it up. He will also pay $230,000 in restitution, $230,000 in damages, and $50,000 in civil penalties. Throughout his six franchised restaurants, he failed to comply with the
- Restaurant owners work employees long and odd hours, yet they pay them “straight time” wages for overtime hours worked (eg. $10 per hour for all hours worked – including overtime).
- They label employees as “managers” to attempt to exempt them from overtime pay when, in fact, they do not truly have management responsibilities.
- They pay employees “off the clock,” effectively denying them their time-and-a-half wages and hide it from auditors.