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FrankNez - Retail News, Financial News, Economy News, Stock Market News, Business News About FrankNez FrankNez

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Fed Report: Auto Loan and Mortgage Delinquencies Soar Amongst Americans
Another Grocery Store Chain Now Joins Major Trader Joe’s Recall
Who Is the Most Richest Person in the World? Meet the Richest Man in the World in 2026
Massive Closures: BBQ Chain Now Closes All Locations
Gen Z And Millennials Are Now Choosing Stocks Over Houses
Wells Fargo Says It’s Closing Another Major Branch
Major US Bank Is Now Closing 18 Branches This Summer
A Massive Grocery Chain Is Now Closing Stores
Home/Banking News/Franchisee Now Pays A Whopping $218K For Stealing Money
Market News Today - Franchisee Now Pays A Whopping $218K For Stealing Money

Franchisee Now Pays A Whopping $218K For Stealing Money

By Frank Nez
March 12, 2024
2

A franchisee now pays a whopping $218K for stealing money that belonged to its employees after illegally altering wages.

Ten Subway franchise locations in Washington have paid a total $218,165 in back pay, damages and fines after the U.S. Department of Labor alleged owners and managers illegally participated in employee tip pools.

The DOL investigation found that managers and owners illegally participated in employee tip pools and “manually adjusted hours to avoid paying overtime.”

An investigation by DOL’s Wage and Hour Division found the franchisees — Jani Enterprises Inc., Keeyarah Enterprises Inc., Kian Enterprises Inc. and Quantum Enterprises USA Inc. — took tips from 100 employees that were left through credit card payments, adjusted timesheets to keep hours below 40 hours per week and didn’t combine hours worked at multiple locations under common ownership to “evade [the] legal obligation to pay overtime rates,” per a DOL press release.

The franchise owners did not respond to requests for comment.

“These Subway owners and managers willfully violated the Fair Labor Standards Act by underpaying employees and pocketing tips that did not belong to them,” Thomas Silva, district director of the DOL’s Wage and Hour Division in Seattle, said in a March 5 statement.

“We encourage employers to review their practices and avoid the costly consequences of illegal actions.”

WHD enforces the Fair Labor Standards Act, which sets standards on minimum wage, overtime pay, recordkeeping and youth employment.

The agency regularly investigates violations in the restaurant industry, including loss of tips, overtime and improper use of child labor.

A Mexican restaurant chain, Plaza Azteca, also agreed in November to pay $11.4 million in back wages and damages for more than 1,000 employees at more than 40 restaurants after the DOL found it allegedly violated overtime and minimum wage requirements.

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Also Read: A Massive Mall Retailer Is Now Closing in California

Other Economy News Today

Market News Today - Franchisee Now Pays A Whopping $218K For Stealing Money.
Market News Today – Franchisee Now Pays A Whopping $218K For Stealing Money.

A US plant now makes an unexpected closure affecting thousands of employees by this upcoming June, sources confirm.

Tyson Foods has decided to shut the doors of its Perry, Iowa pork plant at the end of June after closing just six plants last year.

“After careful consideration, we have made the difficult decision to permanently close our Perry, Iowa pork facility.

We understand the impact of this decision on our team members and the local community,” a Tyson Foods spokesperson said in a statement to local CBS affiliate KCCI.

“Taking care of our team members is our top priority and we encourage them to apply for other open roles within the company.

We are also working closely with state and local officials to provide additional resources to those who are impacted.

“While this decision was not easy, it emphasizes our focus to optimize the efficiency of our operations to best serve our customers.

Iowa remains a key state for Tyson Foods, with employment of more than 9,000 team members across our other Iowa facilities.”

The Iowa location is the ninth processing factory the company has decided to close since 2023 in an attempt to cut costs, reported The Wall Street Journal.

Over the past year, Tyson executives have said they could be closing more of their chicken, beef, and pork plants, according to the Journal.

Tyson is the largest meatpacker in the United States and one of the nation’s largest pork processors.

The Perry plant, which is smaller than other Tyson plants in the state, is estimated to have the capacity to slaughter about 8,000 pigs a day, roughly 2% of the US total, according to agricultural lender Rabobank.

“With the looming closure, 1,200 employees will be left jobless,” reports The-Sun.

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Also Read: Another Business Now Announces Unexpected Layoffs in Kentucky

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Market News Today - Franchisee Now Pays A Whopping $218K For Stealing Money.
Market News Today – Franchisee Now Pays A Whopping $218K For Stealing Money.

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Frank Nez

Frank Nez is an American entrepreneur, journalist, writer, and investor. Frank's work has been cited by SEC and Congressional reports. Franknez.com is a personal finance and market news publication, dedicated to publishing content on money, investing, entrepreneurship, and retail investor news.

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Massive Grocery Companies Are Now Selling Stores in California

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  1. Frank Nez says:
    March 12, 2024 at 11:13 pm

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  2. Frank Nez says:
    March 12, 2024 at 11:13 pm

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