The Labor Department found violations of the Fair Labor Standards Act's minimum wage and record keeping provisions.
Those violations stemmed from tip pooling.
The Big Texan will pay 279 current and former wait staff $650,000 and $150,000 in liquidated damages.
The Big Texan released a statement saying they have complied with the changes the Labor Department recommended, and that they were penalized for technical issues related to reporting and handling tip sharing to employees, but not for any intentional wrongdoing.
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