Author Archives: Ida

by | July 6, 2013 · 12:35 pm

Hospitality Industry Legal Risks: California Labor Commissioner’s “Wage Claims Unit” Aggressively Investigating Wage Theft Claims And Assessed Record Penalties Of $51Million In 2012; Retaliation Cases Pursued Immediately

“…the wage claims adjudication unit — the largest unit within the labor commissioner’s office that handles more than 35,000 claims a year brought by workers alleging they were denied proper wages — in 2012 heard wage claims within an average of 179 days from Hospitality Industry Wage Violation Lawsuitsthe date of filing, the shortest amount of time since 2008…If employees are retaliated against for cooperating with the state in a workplace investigation, the agency investigates those cases immediately…”

The California Labor Commissioner’s office last year assessed more than $51 million in civil penalties against businesses flouting labor laws, making for record-breaking results that have much to do with the office’s move away from conducting broad employer sweeps to instead zeroing in on bad actors, the agency’s chief told Law360 on Thursday.

The agency, led by State Labor Commissioner Julie Su since April 2011, focuses primarily on adjudicating wage theft claims, inspecting workplaces for wage and hour violations, and investigating retaliation complaints, and the agency’s report in May revealed that the office’s increasingly targeted efforts are paying off.

The agency’s bureau of field enforcement in 2012 uncovered more than $16 million in unpaid minimum and overtime wages owed to workers in the state, more than any previous year on record, and the more than $51 million in total civil penalties assessed in 2012 marked a 150 percent increase from 2010.

But an even more telling finding is how much the bureau has improved on workplace inspections resulting in civil penalty citations. Out of every 10 inspections, eight led to citations last year, resulting in a citation rate of 80 percent, a big increase from an average citation rate of 48 percent between 2002 and 2010, according to the report.

For more:  http://www.law360.com/articles/453869/calif-labor-chief-sharpens-focus-on-workplace-violators–

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Filed under Employment Practices Liability, Labor Issues, Liability, Management And Ownership, Risk Management

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by | July 5, 2013 · 12:25 pm

Hospitality Industry Insurance Risks: Hotel And Restaurant Owners Relieved By Obama Administration’s One-Year Delay Of “Affordable Care Act (ACA)”; “Law Is Too Complicated And Costly”

“…employers are relieved that federal officials are delaying penalties for businesses that fail to provide health insurance for their workers, but they say the reprieve does not clear up worries that the requirement is too complicated and too costly…the hotel has 70 employees, many of health insurance nationalwhom do not buy the insurance coverage the hotel offers. The Ramada Inn pays half the cost of the insurance. Business leaders said the delay was inevitable…(employers) have not seen this big a change this ill-defined this close to the deadline…the question still is how this works, what we have to pay and what are the options…it’s just in terms of whether (employers are) going to be able to understand it…”

Businesses with more than 50 employees were to face escalating tax penalties if they did not provide workers with acceptable health insurance coverage by January 2014 as required in the national health overhaul law. President Barack Obama’s administration announced Tuesday it was pushing the deadline back to January 2015 because of confusion about the requirement.

The one-year reprieve is only for businesses. Individuals still must have insurance by 2014 or face penalties, and new online marketplaces called exchanges will help them find coverage, often at subsidized rates.

For more:  http://rapidcityjournal.com/news/businesses-relieved-by-insurance-delay/article_88b8e75c-e4fc-11e2-9b88-001a4bcf887a.html

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Filed under Health, Insurance, Labor Issues, Legislation, Liability, Risk Management

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by | July 4, 2013 · 10:02 am

Hospitality Industry Property Risks: Kansas Restaurant Kitchen Fire Caused By “Grease Build-Up In Duct Work”

“…fire was found in the grease duct…water (could not be put) on it, in that the grease will spread the fire even more…several specialized Restaurant Fire Risksextinguishers (had to be used) since the duct work is so big, and there was a lot of grease in the duct work, which led to the fire…” 

A buildup of grease caused a fire at the New China Buffet in the 4800 block of S. Broadway. Wichita Fire Department Battalion Chief John Turner said firefighters saw smoke from the highway as they responded to the call around 4:30 p.m. A second alarm was called because the restaurant is in a strip mall.

“We do have to protect not only the occupancy that is on fire, but the two neighboring occupancies are a concern for smoke extension and also fire extension,” Turner said.

Damage was mostly contained to the New China Buffet. The kitchen is a “total loss,” Turner said. No one was hurt. About 10 people were evacuated from the restaurant, with most being employees.

New China Buffet will be closed at least through Thursday, Turner said. The health department will inspect food and working conditions.

For more:  http://www.kfdi.com/news/local/214226361.html

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by | July 3, 2013 · 12:21 pm

Hospitality Industry Legal Risks: North Carolina Franchise Restaurant Sued By EEOC For “Pregnancy Discrimination”; Refused To Hire Woman Who Was Six Months Pregnant

“…(the plaintiff) interviewed for a team member position with the restaurant’s owner at the restaurant around Nov. 16, 2012…at the time of the interview Morrison was six months pregnant.  During the interview, the owner asked Morrison a series of pregnancy-related questions such as EEOChow many months she had been pregnant; when she was expected to deliver; her childcare plans after giving birth; and how much maternity leave she planned to take…”

“Working women who choose to have children cannot be penalized or treated differently from other employees simply because they are pregnant,” said Lynette A. Barnes, regional attorney for the EEOC’s Charlotte District Office.  “Employers must remember that refusing to hire a woman because she is pregnant violates federal law, and the EEOC will enforce that law.”

A Chick-fil-A franchise restaurant violated federal law when it refused to hire a female job applicant because she was pregnant, the U.S. Equal Employment Opportunity Commission (EEOC) charged in a lawsuit filed today.

According to the EEOC’s complaint, John Charping, d/b/a Chick-fil-A at Concord Commons, refused to hire Heather Morrison because she was pregnant.    Although Morrison felt that the owner’s questions were inappropriate, she answered them because she wanted the job.  Three days after the interview, the owner called Morrison and informed her that she would not be hired.  The owner told Morrison to call back after she had the baby and had childcare in place.  The EEOC argues that Chick-fil-A at Concord Commons denied Morrison a job because she was pregnant.

Such alleged conduct violates Title VII of the Civil Rights Act of 1964, as amended by the Pregnancy Discrimination Act (PDA).  The EEOC filed suit in the U.S. District Court for the Middle District of North Carolina (Equal Employment Opportunity Commission v. John Charping d/b/a Chick-fil-A at Concord Commons, Civil Action No.1:13-CV-00535), after first attempting to reach a voluntary pre-litigation settlement through the agency’s conciliation process.  The suit seeks back pay, compensatory damages and punitive damages for Morrison, as well as injunctive relief.

EEOC Supervisory Trial Attorney Tina Burnside added, “Pregnant women must be treated in the same manner as other applicants, and employers should not make inquiries related to pregnancy or deny a woman a job based on pregnancy.”

The EEOC enforces federal laws prohibiting discrimination in employment. Further information about the Commission is available on its web site at www.eeoc.gov.

For more:  http://www.eeoc.gov/eeoc/newsroom/release/6-2-13a.cfm

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Filed under Employment Practices Liability, Labor Issues, Liability, Management And Ownership, Risk Management

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by | July 2, 2013 · 1:07 am

P3 Hospitality Industry Risk Report: “Hospitality Hoaxes And Scams” By Petra Risk Solutions’ Director Of Risk Management Todd Seiders, CLSD

[vimeo http://vimeo.com/52048409]

P3Petra Risk Solutions’ Director Of Risk Management, Todd Seiders, CLSD , offers a P3 Hospitality Risk Update – ‘Hospitality Hoaxes And Scams’.

P3 (Petra Plus Process) is the Risk Management Division of Petra Risk Solutions – America’s largest independent insurance brokerage devoted exclusively to the hospitality marketplace.

For more information on Petra and P3 visit petrarisksolutions.com or call 800.466.8951.

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Filed under Guest Issues, Injuries, Labor Issues, Liability, Management And Ownership, Risk Management, Training

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by | July 1, 2013 · 12:08 pm

Hospitality Industry Insurance Solutions: “HospitalityLawyer.com” Presents “Live Webinar” On “The Healthcare Act” On July 10

HospitalityLawyer Live Webinar July 10 Healthcare Act

HospitalityLawyer Live Webinar July 10 Healthcare Act page 2

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Filed under Health, Insurance, Labor Issues, Liability, Management And Ownership, Risk Management, Training

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by | · 9:09 am

Hospitality Industry Health Risks: Hotel Rooms Continue To Have “High Levels Of Bacteria” From Diversity Of Guests; “Infection Risk” As Sanitizing Equipment Goes “Room To Room”

“…a hotel is  not an operating room, and bugs may lurk, despite tip-top cleaning efforts.” The  amount of guests who check in at hotels Hotel Health And Bacteria Risksfrom different parts of the world may  increase the exposure of germs…Cleaning items used by housekeepers such  as sponges and mops were also found to have high levels of bacteria which  increases the risk of infection as they go from room to room using the same  sanitizing equipment…”

On average, hotel housekeepers spend 30 minutes cleaning each room — about 14  to 16 rooms in an eight hour shift. In a study conducted at the University of Houston,  researchers took 19 bacteria samples from items found in three hotel rooms in  three states: Texas, Indiana and South Carolina. While high levels of bacteria  were discovered in bathroom sinks and floors, the dirtiest areas were light  switches and TV remotes, which contained 112.7 colony-forming unites of bacteria (CFUs)  and 67.6 CFUs, respectively. Moreover, light switches had the highest levels of  fecal matter bacteria with 111.1 CFUs.

“Guests  should not assume that their hotel room, not to mention all common surfaces  around the hotel such as doorknobs, front-desk pens … while (hopefully) clean,  are not sterile,” Matilde Parente, MD, a California-based  physician, biomedical safety consultant, and author board certified in pathology  and integrative holistic medicine, told Medical Daily.

Read more at http://www.medicaldaily.com/articles/16908/20130626/hotel-health-risks-chronic-illnesses-long-stay.htm#Iobk2OkS3QmG1emv.99

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by | June 30, 2013 · 8:31 am

Hospitality Industry Property Risks: Florida Restaurant Structural Damage Confirmed To Be Caused By “Sink Hole”; Large Cracks In Wall And Floor

“…Geotechnical testing performed over the past two weeks at the Bob Evans off I-4 in Seffner have confirmed that there is loose soil beneath the Restaurant Sink Hole Damagerestaurant…they are confident that what they found is responsible for the structural damage to the carryout area of the restaurant…employees noticed cracks in the walls and in the floor. Large cracks are also visible on the exterior of the Bob Evans. The bricks are also separating. After workers noticed the cracks, the restaurant did not open…”

Margaret Standing, the Director of Corporate Communications for the company, said experts found the problem between 40 and 60 feet beneath the north and northwest side of the restaurant. It has been closed ever since.

All 35 of the employees who work at the restaurant have been working temporarily at other Tampa area locations.

Standing said the company is now working to determine the best course of action. The company is evaluating options for remediating the site and rebuilding the restaurant at its current location or remediating and selling the property.

Read more: http://www.myfoxtampabay.com/story/22700727/2013/06/27/loose-soil-confirmed-beneath-bob-evans-in-seffner#ixzz2Xi8L7HUS
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by | June 29, 2013 · 6:00 am

Hospitality Industry Employment Risks: Massachusetts Hotel Manager Charged With Stealing Over $300,000 Over Two Years; Created Fake Employees And Cashed Checks

“…the fake employees would appear on the payroll and receive a paycheck.  Anjanel would then ask another person to cash the checks and that Hotel Employee Theftperson would give all of the money to the defendant…Anjanel would also wire the money to Guatemala, using her own name and also asking others whom she knew to wire the money on her behalf…Over the two year period, Anjanel stole more than $300,000 from the two hotels…”

A Lawrence woman was arraigned Friday on larceny charges for allegedly stealing more than $300,000 from two hotels where she worked as a manager, according to a release from Middlesex District Attorney Marian Ryan.

Authorities allege that in 2010 when Anjanel was working as the manager of the Residence Inn at 1775 Andover Street in Tewksbury, she was responsible for and had access to hotel finances including payroll and petty cash, as well as the authority to make hiring decisions.

According to the release, Anjanel used her responsibilities as manager to add three employees to the hotel’s payroll. These employees were never on the schedule, and never actually worked at the hotel, according to the release.

For more:  http://tewksbury.patch.com/groups/police-and-fire/p/hotel-manager-charged-with-stealing-from-tewksbury-hotel

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Filed under Crime, Labor Issues, Liability, Management And Ownership, Theft

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by | June 28, 2013 · 6:33 am

Hospitality Industry Health Risks: Oklahoma Motel “Forced To Close” By City Officials Over Bed Bug Infestation, Mold, Water And Sewer Issues

“…City officials said the motel has been under surveillance for about a year and the owners have been told numerous times to fix problems with Hotel Bed Bugs Infestationbed bugs, mold issues, as well as water and sewer…Code enforcement officers said an angry customer called them to complain after noticing bed bug bites on her children and roaches falling from the ceiling…”

A motel in Ardmore is shut down after bed bugs and other issues pose a threat to customers. The Regency Inn located on 2705 on North Commerce St. in Ardmore was forced to close its doors after it failed a city code inspection.

The motel was shut down and customers were forced to leave the building. They said the motel will stay closed until the owner’s fix the issues and it meets city codes.

The owners declined to comment but said they’ll take care of the issues.

For more:  http://www.kten.com/story/22708184/ardmore-motel-shuts-down-after-bed-bug-investation

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