US Department of Labor Orders CLT Restaurant to Pay over $120K in Wages


According to Charlotte Stories, the U.S. Department of Labor's Wage and Hour Division (WHD), the U.S. District Court for the Western District of North Carolina ordered Hot Taco LLC to pay $120,949 in liquidated damages and back wages. Minimum wage violations of the Fair Standards Act (FSLA) were reported against 67 employees.

An investigation by the WHD found that Hot Taco LLC illegally made employees tip share with non-tipped employees. (Kitchen staff being an example of non-tip employees).

The court order made by the department stated that Hot Taco LLC is permanently enjoined from committing future FLSA violations. “The employer’s failure to abide by the requirements of the Fair Labor Standards Act is a costly error, and one they might have avoided if they had contacted us for information about how to comply,” said Wage and Hour Division District Director Richard Blaylock, in Raleigh, North Carolina. “We encourage employers that have questions regarding tip credit rules or any other wage requirements to reach out to us to help them meet their obligations under the law.”

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Click here for more info about the FLSA.

enjoined from committing future FLSA violation. “The employer’s failure to abide by the requirements of the Fair Labor Standards Act is a costly error, and one they might have avoided if they had contacted us for information about how to comply,” said Wage and Hour Division District Director Richard Blaylock, in Raleigh, North Carolina. “We encourage employers that have questions regarding tip credit rules or any other wage requirements to reach out to us to help them meet their obligations under the law.”