Salem Restaurant Cited For Wage Violations

SALEM, MA – The company that owns Koto Grill and Sushi and the company president were fined for various wage and hour violations. Attorney General Maura Healey's office announced Friday that the $38,043 in restitution and penalties came as a result of failing to keep true and accurate records, failing to provide paystubs, not paying wages in a timely manner, and not complying with the state's earned sick time law.

The AG’s Office issued citations totaling $38,043 in restitution and penalties against BAI SHA Inc. d/b/a Koto Grill and Sushi and the company’s president, Yong Hui Liu. The AG’s Fair Labor Division began an investigation into Koto Grill and Sushi after receiving complaints from employees about non-payment of wages.

"Too often we see vulnerable workers being exploited by employers who fail to play by the rules and steal money from their staff," Healey said in a statement. "Our office is committed to protecting the economic security of residents, and we will work to ensure that workers are paid the wages they are owed."

The Attorney General's investigation found that employees weren't aware of an earned sick time policy, and didn't know it was available to them. It also revealed Liu didn't pay workers for all their hours, and didn't keep accurate timekeeping records.

The AG’s Fair Labor Division had previously cited Koto Grill and Sushi in 2016 for non-timely payment of wages.

Workers who believe that their rights have been violated in their workplace can also call the office’s Fair Labor Hotline at (617) 727-3465. More information about the state’s wage and hour laws is also available in multiple languages at www.mass.gov/ago/fairlabor.

This matter is being handled by Assistant Attorney General Kate Watkins and Investigator Lili Wu, both of AG Healey’s Fair Labor Division.

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