NEW YORK (1010 WINS) — Attorney General Letitia James said Friday that her office recovered $175,000 after employees at a Manhattan pizza chain were "knowingly and wilfully" underpaid.
According to her office's investigation, Gotham Pizza, which has locations in Chelsea, Yorkville, and the Upper East Side, and its owner, Michael Shamailov, paid at least ten workers under the minimum wage from 2016 to 2019, ranging from $6 to $10 per hour, when they should have been paid $11 to $15.
In addition, her office found that the affected workers were never paid any overtime after working more than 40 hours per week and did not receive full tips.
"No matter how you slice it, fair pay is not a suggestion — it’s the law," James said in a statement. "For years, Gotham Pizza took advantage of its hard-working employees by failing to pay them for their work. I am proud to recover the money they have long been owed and cheated, and I will always fight to ensure New Yorkers get their fair piece of the pie."
Gotham Pizza's actions broke the Minimum Wage Order and New York labor laws, which require all employers to pay covered employees the applicable minimum wage and any legally required overtime rate for all hours worked over 40 in a workweek.
Under an agreement reached, a total of $175,000 will be paid to the 10 workers. Gotham Pizza must also provide the Office of the Attorney General with compliance reports containing payroll information for its employees to ensure their cooperation with the law.
In addition, OAG will conduct spot interviews with Gotham workers to confirm that wages are being consistently and properly paid. If Gotham Pizza fails to comply with the terms of the agreement or fails to provide the workers the compensation required, OAG reserves the right to bring civil action.
Her office's Labor Bureau enforces worker-protection laws that protect workers from wage theft and other exploitation and investigates alleged violations of minimum wage, overtime, prevailing wage and other labor laws throughout the state.
If anyone has questions or believes that they have been a victim of wage theft or other labor law violations, they are urged to contact OAG at 212-416-8700 or Labor.Bureau@ag.ny.gov.
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