Wage and Hour Division (WHD)

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WESTBURY, N.Y. -- K&S Glatt Farm Inc., a retail food service company in Lawrence, N.Y., and president Hasan Ozcan have agreed to pay 17 employees a total of $74,156 in back wages after a federal court enforced an administrative subpoena issued by the U.S. Department of Labor as part of an investigation into alleged violations of the federal Fair Labor Standards Act (FLSA). Additionally, the company will pay a civil monetary penalty.

The Long Island District Office in Westbury of the department’s Wage and Hour Division opened a second investigation while attempting to verify that the company had paid back wages and come into compliance with the FLSA as terms of an agreement from an earlier investigation. The second investigation revealed that back wages were due more employees.

The FLSA requires that covered employees be paid at least the federal minimum wage as well as one and one-half times their regular rates of pay for hours worked over 40 per week. The law also requires that accurate records of employees’ wages, hours and other conditions of employment be maintained, and prohibits employers from retaliating against employees who exercise their rights under the law.

“After this employer rebuffed the Labor Department’s efforts to obtain the information we were seeking,” said District Director Irv Miljoner, “we served the company president with an administrative subpoena directing that the company produce documents and other relevant information. The company also defied the department’s subpoena, so we petitioned the U.S. District Court for the Eastern District of New York to enforce it.”

Judge Joanna Seybert issued an order that the defendants show cause not to be compelled to testify and produce the documents demanded by the Labor Department subpoena. The defendants agreed to entry of a consent judgment, signed by Judge Seybert on April 10, ordering full compliance with the FLSA’s minimum wage, overtime, recordkeeping and anti-retaliation provisions. The defendants neither admitted nor denied any of the allegations.

Under the agreement, based on the Labor Department’s second investigation, the defendants will pay seven employees a total of $34,232.50 in back wages and a civil money penalty of $1,078. The defendants also agreed to pay $39,924 the department had found due 10 workers during the earlier investigation.

If the defendants fail to make the back wage payments, the court will appoint a receiver with power to seize and liquidate the defendants’ assets to satisfy the order. Finally, the defendants are ordered to post official FLSA posters explaining employee rights under the law where all employees may view them.

defendants fail to make any payments, the court will appoint a receiver with power to seize and liquidate the defendants’ assets to satisfy the back wage payment order. The defendants must orally advise employees, in English and Spanish, of their rights under the FLSA, the terms of the judgments and their right to engage in protected activities without fear of retaliation. Official posters must also be placed where all employees may view them.

For more information about the FLSA, call the U.S. Department of Labor’s toll-free help line at (866) 4US-WAGE (487-9243). Information is also available on the Internet at www.wagehour.dol.gov.

Chao v. K&S Glatt Farm Inc. and Hasan Ozcan; Civil Action Number: 07-CV-01340-JS-WDW

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