Unlucky Break for Super 88: Supermarket chain pays back pay and penalties

Super 88 Supermarkets has agreed to pay restitution to hundreds of employees and a fine to the state to settle allegations it violated wage and hour laws.

Attorney General Martha Coakley’s Office announced Friday it has reached an agreement with the local Asian supermarket chain and its corporate officers, George Luu, age 35, of Brookline, and Peter Luu, age 56, of Malden. The company allegedly failed to pay over-time, holiday and Sunday pay required by law.

Under the agreement, Super 88 agreed to pay $175,000 to more than 300 current and former employees, along with a fine of $25,000 to the state.

The AG’s office began an investigation in March of 2007 after receiving complaints from former Super 88 employees alleging failure to properly pay employees. An audit of the payroll records revealed that Super 88 had failed to pay numerous employees the proper minimum wage for the first four months of 2007, as well as failed to pay overtime, Sunday and holiday pay from June 2006 through late January 2008. Employees in each of the company’s six supermarkets were owed wages; two of the supermarkets are located in downtown Boston and the other supermarkets are located in Allston, Dorchester, Malden and Quincy.

The state requires employers pay employees the minimum wage of $8 per hour as of Jan. 1, 2008, as well as time-and-a-half for any hours over 40 they work every week.

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