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In Austin, half-baked pay scheme costs dough

by on
in Human Resources,Overtime Labor Laws

Chuy’s Panaderia Bakery, which oper­­ates two locations in Austin, has agreed to settle charges of failing to pay the federal minimum wage to 101 employees. A U.S. Department of Labor Wage and Hour Division investigation revealed the company paid fixed salaries to its cooks, cashiers and bakery staff regardless of how many hours the employees worked.

In some cases, that caused em­­­ployee pay to fall below the federal minimum wage. And it virtually en­sured that employees working more than 40 hours in a week were not paid time and a half for those hours.

The final tab for the bakery’s stingy practices came to $244,770.

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