McALLEN — A bar and grill here was ordered to pay $250,000 in wages and damages to its servers, bartenders and cooks after the federal government launched an investigation against its illegal pay practices.
The U.S. Department of Labor announced Wednesday that Oak Texas Bar & Grill LLC violated its federal minimum wage obligations by not paying servers and bartenders a cash wage of at least $2.13 per hour.
“The restaurant allowed employees to work for tips only, which failed to meet the federal minimum wage requirements,” a news release said.
An investigation also found that the restaurant failed to give overtime pay to its wait staff, and paid cooks straight time for all hours worked.
In all, 36 employees were affected by the illegal practices, the news release said.
“By law, employers who claim a tip credit must make sure their employees earn at least the federal minimum wage, and that all hours – including hours worked at a different location – be counted when calculating overtime pay,” Wage and Hour District Director Cindy Cantu Flores said in the release.
The restaurant, located at 7001 N. 10th St., Suite C, in McAllen, was ordered to pay $250,599 in owed back wages and liquidated damages.
“Low wage workers depend on every dollar they earn to make ends meet, and employers must pay them full wages or face the costly consequences of violations,” Cantu Flores said.
