The owner of nine Papa John’s Bronx locations is the latest franchisee to plead guilty to wage theft charges brought by New York Attorney General Eric Schneiderman. Schneiderman has a history of pursuing and obtaining judgments against fast food employers.
As reported on Entrepreneur.com, the pizza chain franchisee was accused of failing to pay accurate wages and overtime and falsifying records to avoid paying overtime wages. He agreed to a $460,000 settlement that will compensate more than 300 current and former Papa John’s employees.
This is not the first settlement or judgment against Papa John’s. Several other wage and overtime actions have been filed against different franchisees under the Fair Labor Standards Act and various state laws.