Wage and Hour Division (WHD)

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BOSTON -- Five restaurant companies in the greater Boston area, all doing business as Pho Pasteur Restaurant, and their common owner have agreed to pay 138 employees $200,000 in overtime back wages to settle a lawsuit filed by the U.S. Department of Labor alleging violations of the federal Fair Labor Standards Act (FLSA).

According to Corey Surett, district director for the Labor Department’s Wage and Hour Division in Boston, the department’s suit was filed on June 10, 2004, following an investigation by his office. The agency found that low-wage employees in these establishments, especially members of the kitchen staffs, were frequently required to work 60 to 70 hours per week but often were paid only straight time – in cash – for the hours over 40. The defendants also failed to maintain accurate records of their employees’ wages, hours and other conditions of employment.

Named in the suit, filed in the U.S. District Court for the District of Massachusetts, were Le Inc.; Le and Pham Inc.; Le Café Inc.; Le and T Inc.; Pho Pasteur Inc. (all doing business as Pho Pasteur Restaurant), and owner/operator Duyen Le of Weston, Mass. When the suit was filed, the chain had two locations in Boston and one each in Allston, Cambridge and Chestnut Hill. The two Boston locations have since closed.

The FLSA requires that employees be paid at least the applicable minimum wage and time and one-half their regular rate of pay for hours worked over 40 per week. Employers must also maintain accurate records of employees’ wages, hours and other conditions of employment. The law also regulates the employment of young workers under 18 years of age.

The defendants have agreed to entry of a consent judgment, signed by U.S. District Judge Nancy Gertner on July 6, which requires them to pay the back wages and to maintain adequate and accurate employment records. The court order also prohibits the defendants from future violation of the FLSA. The back wages cover the period Dec. 4, 2000 through June 10, 2004.

The Labor Department’s Boston Wage and Hour Division office investigated this case, and the lawsuit was filed by the Labor Department’s Regional Solicitor’s Office in Boston. For more information about the requirements of the FLSA, call the Department of Labor’s toll-free help line at 1-866-4USWAGE (1-866-487-9243) or contact the Boston Wage and Hour office at 617-624-6700. Information is also available on the Internet at www.wagehour.dol.gov.

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U.S. Department of Labor releases are accessible on the Internet at www.dol.gov. The information in this news release will be made available in alternate format (large print, Braille, audio tape or disc) from the COAST office upon request. Please specify which news release when placing your request at (202) 693-7828 or TTY (202) 693-7755. The Labor Department is committed to providing America’s employers and employees with easy access to understandable information on how to comply with its laws and regulations. For more information, please visit www.dol.gov/compliance.