The United States Department of Labor is filing a lawsuit against three Barrio taco restaurants in Michigan. The restaurants allegedly violated the Fair Labor Standards Act, and the alleged violations include withholding tips, not paying overtime compensation, and not providing minimum wages. Employees claim that the restaurants did not pay tipped workers the federal minimum wage, did not pay overtime wages to tipped employees, and forced tipped employees to give up a portion of their tips to non-tipped employees. The lawsuit also claims that the restaurants did not keep accurate records of employee hours and pay rates, and Barrio Taco managers state that they are working to correct mistakes in employee payroll to provide the correct compensation to workers.
See "Barrio Taco locations in Michigan allegedly violated wage and labor laws", Susan Selasky, Detroit Free Press, September 21, 2023