Doughnut, coffeehouse chain agrees to future compliance at company’s 242 US locations
The department’s Wage and Hour Division first opened an investigation at a Krispy Kreme location in Louisville, Kentucky, but soon determined violations found there were widespread and systemic. The division then expanded its probe to include all the Charlotte, North Carolina-based company’s 242 locations nationwide.
Investigators determined Krispy Kreme failed to include monthly bonuses in some employees’ regular rates of pay. By doing so, the employer paid overtime at lower rates than the Fair Labor Standards Act requires. As part of the court order, Krispy Kreme agreed to future compliance with the FLSA’s overtime provision.
“Overtime and minimum wage violations are common violations found in food service industry investigations,” explained Principal Deputy Wage and Hour Administrator Jessica Looman. “Employers who fail in their obligation to pay minimum wage and overtime wages as the law requires make it harder for workers and their families to make ends meet. The Wage...
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