Swahili Village, a Kenyan-owned restaurant chain in the United States, has agreed to pay US$ 526,000 (Sh68 million) in restitution following a no-fault settlement agreement with Washington D.C.
This decision concludes a wage theft case that has been ongoing since August 2023.
The restaurant, co-owned by Kenyans, Kevin Onyona and Emad Shoeb, will disburse US$260,000 (33,930,000) to 72 workers who were underpaid.
Additionally, Swahili Village will pay US$ 197,600 (Sh25,786,800) in district penalties and US$ 69,000 (Sh9,004,500 to a claims administrator responsible for contacting affected workers and distributing the settlement funds accordingly.
Swahili Village faced accusations of paying its workers US$ 5 (Sh652) per hour, which is significantly below the district’s mandated minimum wage.
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The restaurant also allegedly denied employees overtime wages, tips, and sick leave. These practices led to a lawsuit filed by Washington D.C.
Attorney General Brian Schwalb, who stated, “These egregious and systematic violations, which persisted for years, reveal that wage theft and worker abuse were no accident at Swahili Village DC – they were part of the business plan.”
The lawsuit further specified that Swahili Village failed to maintain essential employment records such as workers’ hours, wage deductions, and net salaries. This lack of documentation kept workers unaware of the extent of their exploitation.
Swahili Village expressed satisfaction with the no-fault settlement, emphasising its commitment to business continuity and staff welfare.
In a statement, Kevin Onyona highlighted the challenging period during the COVID-19 pandemic when the violations occurred.
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He explained that their Washington D.C. location, which opened shortly before the pandemic, faced significant challenges due to city shutdowns and lack of government assistance.
“While in no way admitting wrongdoing, we welcome the end of the matter and confirm we will adhere strictly to the agreement. We insist our workers are allowed to be part of our growth story. Our staff is critical to our success, and their well-being is our priority,” Onyona stated.
During the pandemic, Swahili Village supported the community by providing meals to first responders, including firemen, police, EMS, nurses, and doctors.
The restaurant’s commitment to service extends beyond its doors, as Onyona reiterated, “Our commitment to service has always extended beyond our restaurant doors, emphasising our role in the community.”
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Swahili Village began opened in May 22, 2009, with its first eatery in a trailer in Beltsville, Maryland.
Since then, it has grown into a chain of three restaurants, with plans for further expansion.
