Los Angeles city officials alleged Monday that fast-food chain Carl’s Jr. failed to pay the minimum wage to three dozen local workers for six months and is demanding $1.45 million in fines and restitution.
“L.A. law is clear: Employees must be paid at least the minimum wage,” City Atty. Mike Feuer said. “Anything less is a slap in the face to workers struggling to make ends meet. This is a major corporation that should know the rules.”
Carl’s Jr.’s parent, CKE Restaurants Holdings Inc., blamed the shortfall on “an inadvertent payroll error.” It said the 37 employees affected “were swiftly made whole” already in the total amount of $5,400.
The Franklin, Tenn.-based chain also said the city’s demand for $1.45 million was “on its face simply unreasonable” and unconstitutional.
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