Trusted Local News

Local Restaurant Forced To Pay $1 Million in Back Wages to Staff

The U.S. Department of Labor announced Friday that a local restaurant, with a second location in Philadelphia, has reached a settlement to pay employees almost $1 million in back wages.

According to Philly Voice, the owners of Osaka—located along the 1500 block of Sumneytown Pike in Towamencin—pocketed above-average percentages of customer tips on credit cards and failed to pay the proper overtime premium of time-and-a-half since September 2013. Back-of-house staff, including chefs, cooks, and dishwashers, were paid a flat rate of $80 to $150 a day, even though many worked 50 to 60 hours a week.

Philly.com said that the restaurant owners also failed to maintain required records. In addition to the $935,000 that will be given to the 201 employees, the restaurants will also pay a $65,000 penalty.

See Also:

Lidl Receives Approval To Occupy Former Acme Site On Welsh Road

Freddy’s Steakburgers Receives Approval From Towamencin Board

Harriet Carter Announces Closure, Layoffs

Smoke Daddy’s To Change Name Following Threat Of Trademark Lawsuit

‘Ür Brewery’ Coming to Downtown Lansdale in May