Restaurant chain to pay $2.2 million in wages withheld from California workers, settlement shows

A restaurant chain has agreed to pay $2.2 million to hundreds of California workers after it stiffed them out of minimum wage and overtime pay.

Three Bay Area franchises of Saravanaa Bhavan, which describes itself as “the world’s number one chain of high quality Indian vegetarian restaurants,” must pay 317 workers an average of $7,000 each as part of a settlement with the California Labor Commissioner’s Office.

The settlement covers unpaid minimum wages, overtime and other premiums, as well as allegations that the employers stole tips customers left for the employees.

The settlement follows an investigation that resulted in a $6.1 million citation issued in October 2019 for labor code violations that affected 317 servers, bussers, hosts, kitchen workers and cooks. The citation was issued to Spice Route, LLC, Southern Spice, LLC and Supreme Cuisine, LLC and managing partners Asker Junaid and P.K. Perumal

Workers who were employed at the Fremont, Milpitas and Sunnyvale restaurants from Feb. 23, 2016 to Sept. 8, 2019 are eligible for the payments. In addition to the money, the franchise owners must issue personal apologies to the employees and post notices about employee rights regarding tips. Under California law, employers cannot share or keep tips that were left for their employees – a tip belongs solely to the worker.

The Labor Commissioner’s Office does not have contact information for all employees who are owed money. Anyone who believes they qualify should call Deputy John McDonald at (510) 882-5214.