U.S. Department of Labor seeks over $119,000 in back wages and liquidated damages from Papa G’s restaurant

HUNTLEY — The U.S. Department of Labor announced via a press release that they recently filed a complaint and had asked a federal court to issue a temporary restraining order against Papa G’s restaurant (10502 Route 47) and its owners.

The department’s Wage and Hour Division conducted an investigation in which it discovered that Papa G’s and its owners were retaliating and intimidating employees illegally.

According to investigators of the Wage and Hour Division, Papa G’s owners Steve and Rick Tsakalios had told their employees that they did not have to speak with the investigators.

Additionally, Steve and Rick questioned employees who had talked to investigators about what they had discussed with them, creating a “chilling effect on worker cooperation.”

The complaint was filed in the U.S. District Court for the Northern District of Illinois and requests for the court to prevent Papa G’s and its owners from interfering with the federal investigation into the employers’ pay practices.

In addition, the U.S. Department of Labor is seeking to have Papa G’s pay $59,904 in back wages and an equal amount of liquidated damages to employees.

“Threatening or intimidating employees to prevent their cooperation with the U.S. Department of Labor investigators is illegal,” explained Chicago’s Regional Solicitor of Labor Christine Heri. “Doing so discourages workers from asserting their rights and interferes with effective enforcement of the Fair Labor Standards Act (FLSA).”

Heri added that their request for a temporary restraining order against Papa G’s demonstrates the department’s determination to protect workers’ rights.

Investigators also alleged that Papa G’s willfully violated the FLSA’s overtime and recordkeeping provisions by producing falsified records stating that employees rarely worked more than 40 hours per week.

A second set of records were later obtained by investigators which showed that employees had in fact worked for more than 40 hours per week and that Steve and Rick paid the workers in cash at a straight-time rate for their overtime hours.

This paying practice was confirmed through additional records that were recovered through a search warrant that was served on Steve’s and Rick’s accountant—Alphameric Accounting of Lincolnwood.

“As more workers choose to leave the foodservice industry, employers whose pay practices comply with the law have the advantage when it comes to attracting and retaining workers,” said Chicago’s Wage and Hour Division District Director Thomas Gauza. “Those employers who shortchange workers will likely find themselves without the people they need to operate their businesses.”