Sports bar to pay $8 million in back wages

Wet-Seal-Lawsuit

PHILADELPHIA (AP) – A popular sports bar chain in the Philadelphia area will pay more than $8 million to compensate its employees for wage and tip violations.

The Labor Department announced Thursday that Chickie’s and Pete’s agreed to a settlement of $6.8 million for more than 1,100 current and former workers.

Separately, Chickie’s and Pete’s announced it has settled private lawsuits alleging unfair pay practices for nearly $1.7 million.

Federal investigators found the company did not pay minimum wage to its staff and improperly kept a portion of servers’ tips.

Restaurant spokesman Kevin Feeley says the company is trying do right by its employees. He says tip regulations are complex.

Labor officials say the settlement is the largest of its kind in agency history. It still must be approved by a federal court.

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