Krispy Kreme has agreed to pay $1,187,757 in back pay and damages to 516 of its roughly 9,200 workers nationwide as part of a legal settlement, the Department of Labor announced Thursday.
The DOL investigation started at a location in Louisville, Kentucky. Officials deemed the alleged violations of overtime pay rules to be systemic and proceeded to probe all 242 of Krispy Kreme’s stores nationwide.
“Investigators determined Krispy Kreme failed to include monthly bonuses in some employees’ regular rates of pay. By doing so, the employer paid overtime at lower rates than the Fair Labor Standards Act requires,” the DOL wrote in its announcement.