ST. PETERSBURG, Fla. (WFLA) — An investigation by the U.S. Department of Labor’s Wage and Hour Division found 89 employees at Red Mesa Restaurant and Red Mesa Cantina in St. Petersburg lost out on tens of thousands of dollars worth of pay after their employer withheld tips to pay for customers who didn’t pay their bills, illegally charged for uniforms, and didn’t pay minimum wage or full overtime for some workers.
“Servers are one of the lowest paid people in the nation, as far as the wages per hour,” said Nicolas Ratmiroff. “Because of that, we got to make sure that they are receiving all of the entitlement of their pay.”
As a result of the labor law violations, Red Mesa had to pay $190,730 in back wages and liquidated damages to the employees, then provide a sworn statement and proof of the payment to the Wage and Hour Division, the department said.
According to a department press release, the withheld tips ranged from $10 to $175 per day. Overtime violations arose when employees worked at Red Mesa Restaurant and Red Mesa Cantina in the same workweek, but the restaurants didn’t combine the hours, resulting in less overtime. The kitchen staff was paid straight time no matter how much they worked, the press release also stated.
Nicolas Ratmiroff is the Wage and Hour District Director in Tampa. He said the back pay and damages wrap up the investigation since this is a first-time offense for Red Mesa. There are fines or other penalties.
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