$1.1 Million in penalties issued to Buena Park restaurant over wage and sick leave violations
Santa Ana—The Labor Commissioner’s Office (LCO), which operates under the Department of Industrial Relations (DIR), has taken enforcement action totaling more than $1.1 million against Buena Park restaurant Food Source LLC for wage theft violations and failure to comply with paid sick leave requirements.
The total includes $532,561 in citations, issued to compensate 73 affected workers for multiple wage theft violations. These violations include unpaid wages, failure to pay overtime, unpaid contract wages, liquidated damages, and incomplete wage statements.
Additionally, the LCO filed a lawsuit for $575,803, seeking unpaid wages, damages, and penalties for the employer’s failure to comply with paid sick leave laws. The lawsuit also addresses violations such as denying workers access to paid sick leave, failing to document sick leave availability on pay stubs, leaving workers uninformed about their legal rights, and not providing supplemental paid sick leave during the COVID-19 pandemic.
In total, these violations impacted at least 90 workers at the restaurant.
What California Labor Commissioner Lilia García-Brower said:
“Employees should not be forced to choose between their health and earning a livelihood. My office is committed to ensuring workers are properly paid for their labor and receive all the benefits they earn and rightfully deserve.”
Background on Paid Sick Leave
Under California’s Healthy Workplace, Healthy Families Act of 2014, employees who work at least 30 days in a year are entitled to paid sick leave, accruing one hour for every 30 hours worked. Employees can begin using their sick leave after 90 days of employment, with employers allowed to limit usage to 40 hours (five days) per year. Paid sick leave can be used for personal or family health care needs, including preventive care. Accrued balances may carry over, up to a cap of 80 hours (ten days). Certain employees, such as those covered by collective bargaining agreements, may be exempt. Refer to our FAQs regarding sick leave for additional information.
About the Labor Commissioner’s Office
DIR’s Division of Labor Standards Enforcement (California Labor Commissioner’s Office) combats wage theft and unfair competition by investigating allegations of illegal and unfair business practices. More information about wage theft is available at www.wagetheftisacrime.com.
The Labor Commissioner’s Office is urging current and former employees of Food Source LLC to come forward to support ongoing legal actions and to ensure they receive compensation. Workers who believe they were denied paid sick leave or other wages are encouraged to contact the confidential Paid Sick Leave Hotline at 855-526-7775. Employees can also reach out to the Labor Commissioner’s Office for questions or assistance with filing a wage claim at 833-LCO-INFO (833-526-4636) between the hours of 8:00 a.m. to 5:00 p.m. Monday through Friday.
The LCO in 2020 launched an interdisciplinary outreach campaign, “Reaching Every Californian.” The campaign amplifies basic protections and builds pathways to affected populations, so workers and employers understand legal protections and obligations, as well as the Labor Commissioner’s enforcement procedures.
Californians can follow the Labor Commissioner on Facebook and Twitter.
Employers with Questions on Requirements May Contact: MakeItFair@dir.ca.gov
Media Contact: Communications@dir.ca.gov, (510) 286-1161