By Tamara Burns  |  August 10, 2015

Category: Labor & Employment

restaurant wage and hour lawsuitWhile strides are being made to increase minimum wage across the country, there are still concerns about the labor law violations for many low-pay workers. Many employees struggle with the employer not paying overtime and denial of off the clock pay.

A cook in San Francisco, Li Xiu Z. has worked for many years at a popular dim sum restaurant called Yank Sing. Li earned minimum wage ($12.25 an hour in San Francisco), putting in 11 to 12 hours most days, but was allegedly only paid for eight hours per day.

Li does not speak English, but that did not stop her from speaking up for what she felt was right. Li had a previous experience where she had won back pay in another restaurant where she worked, so she felt hopeful that she may be able to do the same at Yank Sing. The morale of the employees was suffering, and Li finally decided to speak up. She and her fellow employees gathered at each others’ homes and discussed their situation until they felt ready to formally issue a complaint.

When the California Labor Commissioner investigated Yank Sing, in addition to workers not being paid overtime, the investigators also found that managers kept the tips for themselves and forced many employees to work off the clock.

After learning about the labor violations, owners Henry and Judy C. were taken by surprise when they found out about the issues plaguing their employees. To correct the situation, the owners replaced 75 percent of the old management team, and now give their workers proper breaks, use time sheets to track employee hours and offer full pay for their health insurance.

On top of the improved working conditions, employees were also compensated for back pay. The wages paid out to employees spanned the last four years and included over $4 million. This is a landmark settlement that is expected to set a precedent for undercompensated and overworked employees in many industries.

Li has been empowered by her experience and the successes she has attained for herself and her coworkers. She now works to consult with employees in other restaurants to educate them on their rights, guiding them to work together to speak up against the poor working conditions they have had to endure.

US Labor Laws

Wage theft occurs across many industries, and many workers are affected in restaurant and fast-food industries, retail and domestic enterprises. According to a National Employment Law Project, three out of four workers were not paid for the overtime they worked in 2008.

Many low-paid workers are immigrants or non-English speakers. Such workers are often unaware of their rights and worry that they may be fired, so much abuse of employment laws remains unreported.

The most common labor violations regarding wage and hour provisions include:

  • Employees working more than 40 hours a week without overtime pay
  • Employee misclassification as exempt from overtime requirements
  • Requiring employees to work off the clock
  • Not providing appropriate breaks for employees

Wage and Hour Lawsuits

Labor law attorneys are able to assist workers in determining if they qualify for a legal claim. If you have worked overtime with no pay or were forced to work off the clock, you may be entitled to legal compensation. Lawyers are available to discuss your individual situation and you may qualify for an individual or employee class action lawsuit.

Join a Free California Overtime, Wage & Hour Class Action Lawsuit Investigation

If you were forced to work off the clock or without overtime pay in California within the past 2 to 3 years, you have rights – and you don’t have to take on the company alone.

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