WASHINGTON D.C. — A former Subway restaurant employee in the District of Columbia filed a putative collective action lawsuit against one of the sandwich chain’s franchisees. The former employee claims the company maintained a practice of denying minimum wage and overtime pay, in violation of the Fair Labor Standards Act (FLSA) and District of Columbia wage laws. For three years, the franchisee allegedly created fictional employees to split the hours and pay of at least 12 employees to avoid paying overtime wages.
The Overtime Claim
Erwin Zambrano Moya, the lead plaintiff in this lawsuit, worked for the Washington, DC franchise from June 2012 to June 2014. He claims that, during that time, he regularly worked around 70 hours a week. However, instead of receiving overtime credit and pay for the extra 30 hours he worked each week, the franchisee attributed those hours to a fictional employee named “Ever Ventura.” Moya would receive two paychecks each pay period, one for himself and one for Ventura, both showing fewer than 40 hours worked. This time splitting allowed the restaurant to maintain an appearance of following overtime wage laws while denying Moya overtime pay for the additional hours he worked.
In addition to the creative payroll practices, Moya alleges he received a base rate of only $7.50 an hour, violating the DC minimum wage law requiring an employer to pay $8.25 per hour. Moya also claims he was not paid for the last 45 hours of his employment.
Recognizing Wage Violations
While creating fictional employees is a rather obvious labor law violation, not all minimum wage and overtime pay violations are obvious, or even intentional. Some of the more common indications of wage violations are frequently overlooked because they appear as the norm. Some indications include receiving incomplete or inaccurate wage statements, being asked to work off-the-clock, or working through rest or meal breaks. Because employees would likely be the first ones to recognize violations, employers are required to post notices informing employees about their rights and applicable wage laws, including the current minimum wage.
If you believe your employer is using a fictional employee or other payroll methods to deny you credit and pay for all the hours you work, you may be entitled to overtime or back wages. Call our experienced team of overtime pay lawyers today at (855) 754-2795, or complete a Free Unpaid Overtime Case Review form. If we accept your case, we will represent you under our No Fee Promise. You will not be billed for legal fees or other costs unless you receive a settlement.