A North Texas barbecue restaurant denied more than 900 employees their full tips and overtime pay, the US Department of Labor said, adding that the food establishment had withheld nearly $867,600 in funds.
Hard Eight BBQ Roanoke Locationat 205 S Oak St., failed to pay its employees, who earned tips, their rightful amount of tips, and hourly managers were not compensated properly for their overtime hours, which are typically a time and a half -rate, according to the survey of the Ministry of Labor.
The Labor Department said the restaurant also shared tips from its servers with its managers, which violates the Fair Labor Standards Act, which states that “an employer or its managers or supervisors [are not allowed] to retain tips that company workers receive for any purpose, whether or not the employer claims tip credit.
“By [including managers in their tip pool,] the employer denied the tipped workers some of their tips and the managers paid the appropriate overtime,” said Jesus A. Valdez, district wage and hour director for the Dallas Department of Labor. “As companies struggle to find people to do the work needed to keep them operating, employers would be wise to avoid violations or risk finding it even more difficult to retain and recruit workers who can choose to look for jobs where they will receive all their legitimate salaries. .”
The Department of Labor recovered a total of $867,572 in tips owed and overtime for 910 employees, according to a department news release.
The restaurant’s executive manager, Katie Gooch, said in an emailed statement that Hard Eight BBQ corrected the issue in August 2021. She told the Star-Telegram that the barbecue restaurant had learned of a change in legislation from the work in 2019 at that time and had compensated all employees.
“At this time, our floor managers, who are deeply involved in the hands-on guest experience, were included in our tip-sharing program,” Gooch said in the emailed statement. “We learned of the new rules during a Ministry of Labor review and IMMEDIATELY changed our practices. We have compensated ALL hourly and former employees affected. We have also provided a raise to our floor managers .
“We deeply appreciate our employees and our customers and are grateful for their continued support.”
The restaurant also released a Video message on Facebook addressing the situation.
This story was originally published April 22, 2022 10:47 a.m.