U.S. Department of Labor sues Barrio Tacos for thousands in back wages and damages

The U.S. Department of Labor has filed a lawsuit alleging wage violations at three Barrio Tacos locations, including the one in Traverse City.

The department is seeking a total of $823,324, half of that is back wages and the other half in damages for 177 employees, some of whom work at the Traverse City Barrio location owned by TC Tacos, LLC.

Investigators said they found the employer required tipped workers to surrender a portion of their tips to non-tipped staff, failed to pay tipped employees minimum wage, and didn’t keep accurate records of employees’ pay rates and overtime premiums.

In a statement, Wage and Hour District Director Mary O’rouke said that investigators find these kinds of violations often.

You can read the full lawsuit here.