The U.S. Department of Labor’s Wage and Hour Division recovered nearly $369,000 for 16 salaried kitchen employees of Restaurant Suntory, a well-known Japanese restaurant in Waikiki, Honolulu. According to the U.S. Department of Labor news release on overtime pay violations at Restaurant Suntory, the restaurant failed to pay legally required overtime wages to cooks and chefs who regularly worked more than 40 hours per week — some logging up to 70 hours.
Despite receiving a fixed salary, the affected workers did not meet the criteria for exemption under the Fair Labor Standards Act. Investigators also found that the employer failed to maintain accurate payroll records, further compounding the violation.
In response, the department recovered $184,496 in unpaid overtime wages and an equal amount in liquidated damages, totaling $368,992. Due to the willful nature of the violations, the employer was also assessed $12,105 in civil money penalties.
Lessons Learned from the Case:
- Salaried employees may still be eligible for overtime. Employers must ensure job duties—not job titles or salary basis—meet exemption criteria under the FLSA.
- Restaurant kitchen staff are rarely exempt. Roles like cooks and chefs typically qualify for overtime protections, regardless of how they are paid.
- Inadequate recordkeeping increases risk. Failing to maintain accurate payroll records can lead to larger enforcement actions and make violations harder to defend.
- Intentional violations carry higher costs. Employers who knowingly ignore wage laws may face steep penalties in addition to owed wages and damages.
If you want to know more about salaried employee rights, read our guide on What are my rights as a salaried employee in Hawaii?
