AUGUSTA, Maine — The Maine Department of Labor says it has recovered nearly half a million dollars in wages that employers failed to pay workers in 2021. Specifically, $474,971.15.
For example, investigators with MDOLs Bureau of Labor Standards Wage and Hour Division found that Luchador Tacos in South Paris had violated several sections of Maine employment law involving misallocation of tips, timely and complete payment of wages, and failure to properly maintain time records which resulted in hundreds of violations.
When cited for these violations in August 2021, the company fully cooperated with BLS to ensure that the total amount of wages owed to the workers, plus liquidated damages, were paid quickly.
Owner Katherine Mitchell told NEWS CENTER Maine her mistakes originated from her being a rookie restaurant owner who lacked knowledge of the rules. Mitchell said from the beginning her employees were always part of the decision making on how to handle wages and tips.
“I thought I was doing it the right way. When I found out I wasn’t... we fixed it," she said. "And it is just a costly mistake we had to move forward from.”
Labor officials published a list online, in what they said is their first time doing so, of more than two dozen businesses that have been penalized. Going forward, the state said it intends to update the website quarterly.
Website - Wage and Hour Violations - 2021
Scott Cotnoir, the labor department’s wage and hour division director, said that publicizing business names will encourage workers to report violations and deter other companies from violating the law.
"Most Maine employers understand and comply fully with their obligations under employment law. When they do not, the department does its best to bring them voluntarily into compliance," Cotnoir said in a news release. "Occasionally, stronger measures are necessary. Bringing noncompliant employers into compliance ensures that everyone is playing by the same rules: workers are paid what they are owed, and law-abiding employers can compete on a level playing field."
