Athenian Diner Owners to Pay Hefty Labor Fines, Back Wages

A group of four Connecticut 24-hour diner owners, including a popular Middletown eatery, has agreed to pay 53 workers a total of $318,561 in back wages, plus interest, to resolve a lawsuit filed by the U.S. Department of Labor alleging violations of the Fair Labor Standards Act.

A Hartford District Office of the department’s Wage and Hour Division investigation found the G.D. Diner of New Haven, , Middletown; Athenian Diner of Milford and Athenian Diner of Waterbury — owned and/or officiated by George Daoutis, Evidoxia Daoutis, John Daoutis, Vasilios Papagiorgiou and Vasilios Psarofagis — violated the FLSA since Nov. 12, 2006.

It was found they paid kitchen employees fixed weekly salaries for all hours worked, without regard to overtime premium pay due for hours beyond 40 per workweek. The restaurants also did not keep accurate records of hours worked by employees.

According to the terms of the consent judgment, which was filed with the U.S. District Court for the District of Connecticut, the defendants will pay the total amount of back wages found due by the Labor Department as well as $53,680 in penalties assessed for violations of the FLSA’s minimum wage, overtime, record-keeping and child labor provisions.

The investigation found that a 17-year-old dishwasher at the Middletown restaurant operated a power-driven Hobart meat slicer and another 17-year-old dishwasher operated a Hobart power-driven buffalo meat chopper. Federal child labor provisions prohibit the operation of power-driven meat and poultry processing machines by workers under 18.

“Our investigation found cooks, chefs, prep chefs, dishwashers and busboys working between 50 and 66 hours per week without receiving the overtime pay to which they are entitled,” said Neil Patrick, the division’s district director in Hartford.

The case was litigated by the Labor Department’s Regional Office of the Solicitor in Boston.

The FLSA requires that covered employees be paid at least the federal minimum wage of $7.25 per hour as well as time and one-half their regular rates for every hour they work beyond 40 per week. The law also requires employers to maintain accurate records of employees’ wages, hours and other conditions of employment, and prohibits employers from retaliating against employees who exercise their rights under the law.