The U.S. Department of Labor has cited a local Filipino food restaurant and bake shop chain for allegedly underpaying workers in what the agency called a “reckless disregard” of federal labor law.
The agency assessed a $23,240 penalty against the parent company of Golden Coin Food Industries and said it has recovered $97,503 in back wages for 137 employees at the company’s restaurants.
Golden Coin, which operates six restaurants in Hawaii along with a bakery, banquet facility and meat processing plant under Waipahu-based parent GU Industrial &Business Corp., founded in 1985 and led by Gloria Uy, was not able to immediately comment on the matter Monday.
According to the federal agency, GU Industrial’s payroll system deducted time for worker meal breaks without fully considering whether the breaks were long enough for their purpose or, in some instances, whether workers actually took a break.
“Golden Coin deducted meal breaks automatically without affirming whether the employee was actually relieved from duty for a sufficient length of time or in other instances whether the meal breaks were actually taken,” Terence Trotter, the agency’s Wage and Hour Division district director in Honolulu, said in a statement. “That is illegal under federal law.”
The amount of back pay recovered amounted to an average of $712 per worker. Though this isn’t a huge sum, the Labor Department said such violations make it harder for vulnerable, low-wage workers to earn a living while also creating an uneven playing field for law-abiding competing employers.
“This case should remind all employers to review their pay practices to ensure they are complying with the law and avoiding costly consequences if they do not,” Trotter said.
The agency said its Honolulu district office has recovered more than $1.4 million in back wages for almost 1,700 workers in Hawaii over the past five years after initiating 228 investigations and finding violations in 219 cases.
Employers and employees are encouraged to understand requirements of the federal Fair Labor Standards Act.
The Labor Department operates a toll-free helpline at 866-4US-WAGE and has more information, including how to file complaints online, at dol.gov/agencies/whd.
