FLSA Dispute: Bars Must Pay $51K Back Wages, $31K in Child-Labor Penalties
A federal court entered a consent order against three Cowbell sports bars in Biddeford,
Scarborough and Westbrook, ME, resolving a Department of Labor case alleging Fair Labor
Standards Act (FLSA) violations involving minimum wage, overtime and child labor.
FLSA Violations
The Wage and Hour Division alleged the bars failed to pay some employees for all hours
worked, altered timecards to conceal hours, did not combine hours worked across locations and misclassified some workers as exempt. At one location, two minors allegedly worked beyond permitted hours. The consent order requires:
- $51,775 in back wages for 47 employees
- $31,436 in civil money penalties
“Employers are required by law to pay non-exempt employees for all hours worked, including time-and-a-half pay for all hours worked over 40 in a workweek,” stated Wage and Hour Division District Director Steven McKinney in Manchester, New Hampshire.
When an employee works at more than one location, payroll should combine the hours for
purposes of the 40-hour overtime threshold to ensure FLSA compliance.
- Share on
Free Training & Resources
White Papers
Provided by UJET
Further Reading
In March and April, some of your peers will receive CP2100/CP2100A notices from IRS that will require them to mail out B notices notifying ...
Time to update your systems: SSA has announced the 2026 Social Security taxable wage base. Next year’s number will increase to $184,50...
Gov. J.B. Pritzker signed HB 4844, requiring Illinois employers with more than 25 employees to pay workers their regular rate of pay for ti...
While we’re no longer dealing with the quarter-by-quarter changes to Form 941 that occurred during the pandemic, there are some recen...
The Secure 2.0 Act of 2022 brought big retirement plan changes. But in spots, the wording wasn’t clear, leading to uncertainty among ...
Thinking about adding tips and overtime compensation to box 14 of Form W-2 for TY 2025? Two recent IRS notices have provided insight. Th...
