IR #2012-08
February 15, 2012

Erika Monterroza
Dean Fryer
(510) 286-1161


CA Labor Commissioner Reaches $316,000 Settlement for Unpaid Wages

San Francisco— California Labor Commissioner Julie A. Su reached a $316,000 settlement in eight wage cases that were filed to recover unpaid minimum wage and overtime wages at Pho Clement and Pho Clement 2 restaurants in San Francisco. 

The Department of Industrial Relations’ (DIR) Division of Labor Standards Enforcement, also known as the Labor Commissioner’s Office, helped the parties reach a settlement following an investigation initiated in June 2011, originating from a Cal/OSHA referral. 

“Regardless of the industry, employees should never feel like they have to fight to receive the full wages they are owed. In this instance, employees successfully stood up for wages taken by their employer that they were owed,” said DIR Director Christine Baker.

The settlement reached requires that the employers pay each of the eight employees an amount ranging from $17,432 up to $85,114 depending upon the amount of unpaid wages they were owed. 

“While we are grateful that this process has come to an amicable conclusion, refusal to pay workers for all hours worked has no place in California. Overtime laws are on the books for a reason and the state will protect both employees and the honest employers who play by the rules,” said Labor Commissioner Julie Su. 

It was through a collaborative effort between workers, legal and community advocates and the state that allowed this settlement to be achieved. “This case is an example of the effective partnerships we can have with community based organizations who share the goal of strong enforcement of labor laws,” added Su. “The Asian Law Caucus, Chinese Progressive Association and the Progressive Workers Alliance assisted us in conducting the thorough investigation that led to our ability to get the wages owed into workers’ pockets.”

California law states that an employer must pay overtime to any employee who works more than 8 hours in a day or 40 hours in a week.  When an employee works more than 8 hours in a day, or beyond 6 consecutive days, he or she is entitled to one-and-a-half times their regular rate of pay.  An employee is due double their amount of regular pay when he or she works beyond 8 hours on the 7th consecutive working day, or if he or she works beyond 12 hours in one workday.

For information on overtime laws, please visit: Employees with work-related questions or complaints can call the California Workers’ Information Hotline at 1-866-924-9757. 

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