NY Gyro fined $613K for minimum wage, worker overtime violations

Minnesota-based Mediterranean restaurant chain NY Gyro has been ordered to pay hundreds of thousands of dollars in back wages after a federal investigation uncovered several violations.

Minnesota-based Mediterranean restaurant chain NY Gyro has been ordered to pay hundreds of thousands of dollars in back wages after a federal investigation uncovered several violations.

NY Gyro overtime, wage violations

What we know:

The U.S. Department of Labor’s Wage and Hour Division says during an investigation into four of NY Gyro’s nine Minnesota locations it found that Rehman LLC, IN LLC, IQ LLC, and MOON LLC failed to keep proper records of hours worked, violating federal law.

The department’s news release says NY Gyro paid workers straight-time for all hours, even when they worked more than 40 hours in a week, which led to overtime violations. The company’s practices were found to be in violation of the Fair Labor Standards Act’s recordkeeping and wage provisions.

Investigators also found that at least one employee was paid less than the federal minimum wage of $7.25 per hour, the press release says.

The company was fined $613,037 in back wages for 46 workers as part of the fine levied against it, the department says.

Dig deeper:

New York Gyro currently has nine locations throughout Minnesota – three in St. Cloud, three in Minneapolis, Columbia Heights, Wilmar and Waite Park.

The quick-serve locations offer a variety of kabobs, gyros and platters that are all said to be 100% halal.

A company website says it serves a "true taste of the Mediterranean" and is "proud to bring authentic recipes, fast service, and warm hospitality to every meal."

The Source: Information provided by the U.S. Department of Labor.

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