Labor Recovers Back Wages and Penalties from Denver Restaurant

DOL News Releases

Filed February 12th, 2026

Detected February 13th, 2026

Summary

The U.S. Department of Labor recovered $61,568 in back wages for 11 Denver restaurant workers after an investigation found Tommy's Oriental Food Inc. unlawfully kept employee tips. The employer also paid a $990 civil penalty for Fair Labor Standards Act violations.

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What changed

The U.S. Department of Labor's Wage and Hour Division has recovered $61,568 in back wages for 11 employees of Tommy's Oriental Food Inc. (operating as Tommy's Thai) in Denver. The investigation revealed that the restaurant unlawfully withheld all employee tips and failed to record all hours worked, in violation of the Fair Labor Standards Act (FLSA). Additionally, the employer paid a $990 civil money penalty for these violations.

This enforcement action highlights the importance of proper tip management and accurate record-keeping for employers in the food service industry. Employers should review their practices to ensure compliance with FLSA requirements regarding tips and hours worked. Failure to comply can result in significant back wage liabilities and civil penalties. The Department of Labor encourages employers to utilize their compliance assistance tools and resources to understand their obligations.

What to do next

Review tip handling policies and procedures to ensure full compliance with FLSA.
Verify accurate recording of all employee hours worked.
Ensure all required FLSA posters are prominently displayed.

Penalties

Civil money penalty of $990

Source document (simplified)

News Release

US Department of Labor recovers nearly $62K in back wages for 11 workers denied full tips by Denver restaurant

Employer also paid penalty for FLSA violations DENVER – The U.S. Department of Labor has recovered $61,568 in back wages for 11 workers after a federal investigation found a Denver restaurant denied the employees their full tips.

The department’s Wage and Hour Division investigated Tommy’s Oriental Food Inc., which operates as Tommy’s Thai, and determined that the employer unlawfully kept all employee tips in violation of the Fair Labor Standards Act. The division also found the employer failed to record all hours worked by employees and did not properly display a required FLSA poster.

“Violations like these are all too common in the food service industry. Most restaurant employers are legally obligated to comply with the FLSA, which prohibits employers, including managers and supervisors, from keeping any portion of another’s tips,” said David Skinner, the Wage and Hour Division’s district director in Denver.

In addition to the back wages, the employer paid a $990 civil money penalty for the violations.

Workers and employers can call the Wage and Hour Division with questions and requests for compliance assistance at its toll-free helpline, 866-4US-WAGE (487-9243). Employers are encouraged to use the agency’s industry-specific compliance assistance toolkits to learn about their responsibilities under the laws enforced by the division. The agency’s PAID program offers employers an opportunity to self-report and resolve potential FLSA minimum wage and overtime violations, as well as certain potential violations under the Family and Medical Leave Act.

Learn more about the Wage and Hour Division, including a search tool that workers can use if they think they may be owed back wages collected by the division. Download the agency’s free timesheet app for iOS and Android devices to ensure hours and pay are accurate.

Agency Wage and Hour Division Date February 12, 2026 Release Number 16-113-DEN Media Contact: OPA West Media Email OPA-West-Media@dol.gov Share This
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