restaurants

N.J. Dept of Labor Closes 27 N.J. Boston Market Locations


Earlier this week the New Jersey Department of Labor and Workforce (NJDOL) announced it has issued 27 stop-work orders to Boston Market locations in New Jersey for what the department claims are “multiple violations of workers’ rights, including more than $600,000 in back wages owed to 314 workers.”

The investigation kicked off when NJDOL received a complaint in late 2022 from one New Jersey store, after which approximately three dozen complaints were filed naming several New Jersey Boston Market locations.

The initial investigation by the NJDOL included citations for: unpaid/late payment of wages, hindrance of the investigation, failure to pay minimum wage, records violations, failure to pay earned sick leave, and failure to maintain records for earned sick leave. NJDOL investigators have found $607,471 in back wages owed to 314 workers, as well as $1,214,942 in liquidated damages. 

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“With restaurants across the country, Boston Market needs to set a better example for fair treatment of its workers,” said Joseph Petrecca, assistant commissioner of NJDOL’s Division of Wage and Hour and Contract Compliance.

An employer may appeal a stop-work order, in which case NJDOL has seven days to schedule a hearing. Boston Market has requested a hearing.

For now, NJDOL continues to monitor locations where stop-work orders have been issued and can assess civil penalties of $5,000 per day against an employer conducting business in violation of the order. The stop-work order may be lifted if and when any remaining back wages and penalties have been paid and all related issues have been resolved.

The latest closures bring the total number of Boston Market location shutdowns to an estimated 50 units thus far in 2023. The fast-casual chain was acquired in 2020 by the Rohan Group of Companies, which operates multiple franchised restaurant concepts and is a franchisee of brands including Pizza Hut and Checker’s & Rally’s.

In addition to the NJDOL investigation, the chain faces numerous lawsuits from vendors and landlords over unpaid wages, including a $12 million lawsuit from distributor US Foods.

Boston Market, which at one point had 1,200 restaurants across the country, finished 2022 with 300 locations.

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