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Home » Business » El Compita Mexican Bar and Grill to Pay $48K – Back Wages

Business

El Compita Mexican Bar and Grill to Pay $48K – Back Wages

Martin Smith
Last updated: July 12, 2024 8:35 am
Martin Smith - Editor in Chief
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El Compita Mexican Bar and Grill to Pay $48K - Back Wages
El Compita Mexican Bar and Grill to Pay $48K - Back Wages
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U.S. Department of Labor recovers $48,000 in back wages and damages for 18 cooks working at El Compita Mexican Bar and Grill

DAVENPORT, IA (STL.News) The U.S. Department of Labor released the results of action taken against El Compita Mexican Bar and Grill in Davenport, Iowa.

Employer: El Compita Mexican Bar and Grill, 14010 112th Avenue, Davenport, IA 52804 – 1720 E. Kimberly Road, Davenport, IA 52804

Investigation findings: The U.S. Department of Labor’s Wage and Hour Division investigated a Davenport, Iowa restaurant that failed to pay cooks overtime at time and one-half their hourly rate of pay for hours over 40 in a workweek.

Investigators found that El Compita Mexican Bar and Grill’s two locations wrongly classified cooks as salary-exempt and denied overtime pay.  The restaurant also failed to maintain employee timecards as required and did not post posters informing workers of their wage rights as required by law.

Resolution: The company paid a total of $48,914, representing $24,457 in back wages and an equal amount in liquidated damages for 18 employees.

Quote: “This restaurant’s practice of paying a set salary to cooks, regardless of hours worked, is a violation of the Fair Labor Standards Act, which requires most workers to be paid overtime for hours over 40 in a workweek,” explained Wage and Hour District Director Marietta Taylor in Des Moines, Iowa.  “Recovering these wages allows us to put money back in the pockets of vulnerable workers, who may not know their rights under federal wage laws.”

We publish this type of content so small businesses might read it and learn from the mistakes made by other small business owners.

SOURCE: US DOL

TAGGED:Iowa
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By Martin Smith Editor in Chief
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Martin Smith is the founder and Editor in Chief of STL.News, an independent digital news publication owned and operated by St. Louis Media, LLC. He founded STL.News in 2016 and oversees its editorial direction and digital publishing operations. His coverage includes business, financial markets, securities litigation, government and regulatory developments, legal news, and St. Louis-area businesses and economic activity.
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