US Department Of Labor: Violations And Settlements – May 16 To 31, 2024

A federal court permits the DOL to pursue a lawsuit against an employer for retaliatory social media postings

In October 2023, the US Department of Labor filed a lawsuit against Bevins & Son Inc. for retaliating against employees who had entered into a settlement agreement with the company to resolve some FLSA claims.

After the settlement, the company posted statements to social media disparaging the employees and implying the company had accepted kickbacks of back wages and liquidated damages for the employees. The DOL argued that they social media posts were retaliation against the employees resulting from a prior settlement regarding unpaid wages.

The company challenged the October 2023 lawsuit claiming that their social media posts were protected by the First Amendment. However, a federal court in Vermont determined that the social media posts, if retalitory, were not protected by the First Amendment and allowed the DOL to continue to pursue its retaliation lawsuit.

Court denies Vermont employers’ motion to dismiss Department of Labor lawsuit alleging social media retaliation against employees

The DOL filed a lawsuit against a restaurant for $300K for violating wages laws and recordkeeping requirements

The US Department of Labor filed a lawsuit claiming that Gordo Corp., operating as El Gordito, in Illinois, did the following:

• Failed to pay servers minimum wage for all hours worked.
• Did not pay servers and kitchen staff an overtime premium of time and one-half their hourly rate of pay for hours over 40 in a workweek.
• Did not keep complete and accurate records that detailed an employee’s hours worked.
• Often underreported the number of hours worked by staff. 
• Allowed full-time servers to keep their tips but failed to enact a proper tip credit.
• Failed to pay servers the required cash wage of $2.13 per hour, and often paid no cash wage at all. 
• Made up the number of hours servers worked and how much they earned in tips so that the amount of servers’ paychecks would be close to $0.

The DOL is looking for an award of $300K in back wages and damage.

US Department of Labor files complaint seeking $300K in back wages, damages for Belleville restaurant workers denied minimum wage, overtime