The U.S. Labor Department says the operator of 55 Dunkin Donuts franchises throughout New Jersey and on New York’s Staten Island will pay nearly $200,000 in back wages to 64 employees for overtime and minimum wage violations.
Federal officials say Edison, N.J.-based QSR Management wrongly claimed its store managers were exempt from overtime. Though the employees performed management duties, they did not receive a guaranteed weekly salary, entitling them to overtime pay.
An overtime exemption applies only if managers receive a guaranteed weekly salary of at least $455. Dunkin Donuts managers would have their pay reduced when they worked less than 60 hours.
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