A San Antonio based restaurant chain has been busted for underpaying its employees, News Radio 1200 WOAI reports.
The U.S. Department of Labor says an investigation revealed that Taqueria Chapala Jalisco was paying its employees a flat rate, regardless of the number of hours they worked.
"This practice resulted in overtime violations when kitchen and wait staff worked up to 60 hours per week without overtime pay," The Labor Department said in a statement.
The investigation revealed that employees worked so many hours in a day that their flat rate pay turned out to be below the federal minimum wage of $7.25 an hour.
The Labor Department has ordered the company to pay $208,000 in back wages to 68 employers who it determined were victims of violations of the Fair Labor Standards Act.
“The U.S. Department of Labor is committed to ensuring employees receive all the wages they have rightfully earned, and that employers compete on a level playing field,” said Wage and Hour Division District Director Cynthia Ramos, in San Antonio. “We encourage employers to reach out to us for assistance to ensure they are in compliance with the law.”
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