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Portland, Texas restaurant settles retaliation case with DOL

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in Employment Law,Human Resources

A Mexican restaurant outside Corpus Christi, Texas, has settled a Department of Labor lawsuit alleging it retaliated against a whistleblower employee.

La Iguana, located in Portland, allegedly fired a worker it believed had reported labor law violations to the DOL. Enforcement officials had just informed the restaurant it owed more than $25,000 to 13 employees who had not been paid in accordance with the Fair Labor Standards Act.

Less than a week later, it fired a cook who had worked at La Iguana for more than 13 years, apparently believing he had been the informant.

The DOL then charged the restaurant with retaliation. The parties agreed to settle the dispute. La Iguana will pay the back wages from the original case, plus another $5,000 to the fired cook.

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