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ESA-WHD New Release: [06/24/1996]
Contact Name: John M. Chavez
Phone Number: (617) 565-2075
Release Number: BOS 96-112
STOCKBRIDGE, MASS., EMPLOYERS ORDERED TO PAY EMPLOYEES OVER $10,000 IN BACK WAGES FOR FEDERAL WAGE & HOUR LAW VIOLATIONS
BOSTON, MA — Michael's of Stockbridge, Inc., of Stockbridge, Mass., and 2001, Inc., d/b/a Bogies Restaurant, located in Great Barrington, Mass., have been ordered to pay 39 employees over $10,000 in back wages as the result of a court order issued by the U.S. District Court for Massachusetts. Also included in the judgment were Michael Abdalla, Sr., as president and treasurer of Michael's of Stockbridge, Inc., and Michael Abdalla, Jr., as treasurer and agent/clerk of 2001, Inc., as well as George Abdalla, as president of 2001, Inc., and clerk of Michael's of Stockbridge, Inc.
The order, agreed to by the parties and signed by U.S. District Judge Michael A. Ponsor, resolves a suit filed against the defendants by the U.S. Department of Labor alleging violations of the Fair Labor Standards Act (FLSA), including failure to pay employees proper overtime wages.
According to Corey Surett, Massachusetts district director for the Labor Department's Wage and Hour Division in Boston, the total amount of $10,629.14 (plus interest) is due 39 employees who worked for the defendants' restaurants for the period of time between December 7, 1993 and December 7, 1995. The court is allowing the defendants to make the payments according to an installment plan which requires the final payment to be made in November, 1997.
Surett noted that the order also prohibits the defendants, who agreed to entry of the judgment without admitting liability, from future violations of the overtime provisions of the Fair Labor Standards Act.
Surett stressed that Wage and Hour Administrator Maria Echaveste has directed the Wage and Hour Division to adopt a strategy of tough, responsible, and consistent enforcement, which includes getting results swiftly and efficiently through litigation when necessary.
Passed in 1938, the FLSA--also known as the federal wage and hour law--today covers more than 110 million workers nationwide, explained Surett. The law, enforced by the Labor Department's Wage and Hour Division, sets the federal minimum wage at $4.25 per hour and generally requires overtime for hours worked over 40 in any workweek. It also prohibits child labor abuse and requires employers to keep adequate time and payroll records.
The department's legal action against the company followed an investigation by the Wage and Hour Division district office headquartered in Boston, Mass.
The civil action file number for this case is 96-30043-MAP.
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