June 08, 2017

On Wednesday, Mexican food restaurant Chipotle was hit with a lawsuit that claims it failed to correctly pay its workers overtime wages.

The lawsuit, which was filed in U.S. District Court in New Jersey, alleges the company failed to expand overtime to employees after the Labor Department issued a new rule last year that made more employees eligible for overtime pay, USA Today reports, citing the lawsuit. The rule required employers to pay overtime to any worker with an annual salary up to $47,476—an increase from the $23,660 threshold that was previously required.

But shortly before the rule went into effect, a Texas court put its enforcement on hold, according to USA Today. The Texas injunction kept the Labor Department from enforcing the rule.

Cohen Milstein Sellers & Toll PLLC represents the plaintiffs in this litigation.

The full article can be read here