Two Japanese restaurants sued for unpaid wages

Seventeen employees of Keeraku and Rakuen restaurants filed yesterday a lawsuit in federal court against their employer for alleged unpaid wages.

The employees sued Eastern Hope Corp. that owns the two restaurants in Garapan for violation of the Fair Labor Standards Act, breach of contract, and violation of Commonwealth Employment Act.

The plaintiffs asked the U.S. District Court for the NMI to order Eastern Hope Corp. to pay them unpaid wages, damages, restitution, courts costs, and attorney’s fees.

One of the employees recently discussed with Saipan Tribune about their plan to sue management.

Asked for comment earlier about the complaint, Eunae Lee, manager of the restaurants, admitted they were delayed in paying the wages, but that the management has been trying its best in paying the workers.

Lee said they already explained to them that they don’t have enough customers plus the fact that the Commonwealth Utilities Corp. is killing their businesses due to their monthly power billings of $11,000.

Lee said they are aware that other companies are also behind payment to their employees because of the bad economy.

She said they already explained to the workers that they need to pay the power billings first as the management is slowly paying them one by one.

“I’m so sorry for them. But we will pay everything when they finished the contract,” the manager said.

Attorney Joseph E. Horey is representing the employees—Ricardo Salem, Romel Codog, Leticia Manuel, Aung Ko Ko Than, Remegio Gonzales, Erick Caisip, Ariel Payoc, Alejandro Del Corro, Jennifer Capati, Nelia San Pascual, Merlinda Gaboya, Tarun Mondal, Zhao Chun Xiang, Chad Almojuela, Virginia Villasan, Jin Shun Yu, and Reynaldo Hermogenes.

Horey stated in the complaint that except for Del Corro who was employed only last month, from prior to July 1, 2008 to the present, plaintiffs were employed by the company in its business operations of Keeraku and Rakuen restaurants.

Horey said except for Almojuela each of the plaintiffs was employed pursuant to Labor-approved contract for a minimum of 40 hours per week and an agreed hourly wage rate.

The lawyer said that since July 2008 defendant has not provided plaintiffs or any of them with more than 35 hours of work per week.

He said that, since July 2008 to the present, plaintiffs have performed at the rate of 30-35 hours per week except Del Corro who did so only last month.

Horey said some plaintiffs have not been paid since last Aug. 1, while others since Aug. 6 and 20.

“Defendants’ actions were willful and intentional, done in bad faith for oppressive reasons,” Horey said.