Employer: JRKT Enterprises LLC, operating as Subway
12835 Bel-Red Road, Suite 100
Bellevue, WA 98005
Investigation findings: An investigation by the U.S. Department of Labor’s Wage and Hour Division found the employer failed to pay workers the full amount of their earnings due to violations of the minimum wage, overtime and tip pool requirements under the Fair Labor Standards Act.
Investigators determined that JRKT Enterprises LLC and owner Taran Singh, operator of four Subway restaurants under different corporate names in Burien, Renton, SeaTac and Tukwila failed to pay two employees for time spent in required job training and failed to combine hours between four establishments for overtime pay calculation purposes. By doing so, the employer failed to pay workers overtime hours for hours over 40 in a workweek. The employer also allowed managers to take part in a tip pool, a practice the law forbids.
Back Wages Recovered: $37,476 in unpaid wages and tips for 59 employees
$37,476 in liquidated damages for 59 employees
$5,924 in civil money penalties
Quote: “Food service workers are common victims of labor violations by unscrupulous employers that disrespect the law and their workers, while jeopardizing their reputations, franchise agreements and, in this case, the Subway brand,” said Wage and Hour Division District Director Thomas Silva in Seattle. “We encourage employers in this industry to review their pay practices and avoid costly consequences.”