Category Archives: Labor Issues

Hospitality Industry Social Media Management: Hotel Management Must Have Policies In Place To Deal With An “Online Reputation Crisis” Including “Act Quickly, Publish Official Response, Remove Content And Rally Supporters”

Given the rapid-fire pace at which content can spread via social networks, hotels have never been more vulnerable. A seemingly minor issue can quickly escalate into a full-blown crisis, causing serious damage to Hospitality Industry Social Media Managementreputation.

After a power outage at a Texas hotel last summer, a paralyzed American war veteran called the front desk to request help from his room. For reasons not entirely clear, the clerk allegedly laughed at the request and mocked him. The guest got down by throwing his wheelchair and bags down three flights of stairs and sliding down on his backside. Then he went to straight to the media.

The incident incited a public furor that quickly spread to social networks. The hotel, its employees and the entire brand came under attack, with expressions of outrage and calls for a brand-wide boycott. Despite a solid reputation, it seemed nothing the brand could do—issue a refund and a public apology, dismiss the employee, implement staff training—would appease detractors.

  • Be prepared – Given the risks involved, a social media policy with a crisis management component must be a priority. Outline the steps to take in the event of a crisis, the people responsible, and the role social media will play in messaging. Keep a list of emergency contacts at hand, including your social media administrator.
  • Act quickly – When a crisis hits, there’s no time for bureaucracy. You must respond quickly and decisively. But first you must assess what’s at stake. Include senior management in decisions, and if appropriate seek advice from a PR firm or lawyer.
  • Publish an official response -  An official response is a critical step. It should be honest and sincere, should speak to your company’s credentials, and should be authored by a senior executive. Post it to one channel—your website or blog, a video—and direct all inquiries there.
  • Rally supporters – Call on your community of fans to help get your messaging out. Their words will have more impact and reach than official brand messages.
  • Don’t fuel the fire – Buchmeyer tells me of another incident in which a client attempted to quell a spate of angry comments on its Facebook page by deleting them and blocking detractors. This only resulted in escalating the situation. Monitor conversations and respond as appropriate, but resist the urge to sanitize. In some cases it may be better to “go dark” on social media rather than draw attention to the issue and further provoke detractors. This is especially true in the case of a tragedy or natural disaster, when communications should be restricted to community support and keeping guests informed.
  • Get the content removed – Getting damaging content taken down can be challenging, especially if it has spread to multiple channels. Go to the source and ask them to remove it, but don’t be heavy handed. At the same time, appeal to the host site to have it removed. Litigation is an option if the content is libelous, but use it as a last resort. Engage in charitable causes and community work that will garner positive content to displace the negative.
  • Reputation management—a company wide function – The media loves a scandal, and exposés of security, sanitation and safety issues are popular topics that can be highly damaging to business. Employees must be aware that social media has raised the stakes. The consequences of guest mistreatment, negligence and lapses in quality, service and security can be severe. Management must play its part by providing the training, empowerment and support necessary to ensure standards are understood and upheld.

For more:  http://www.hospitalitynet.org/news/154000320/4059521.html

Comments Off on Hospitality Industry Social Media Management: Hotel Management Must Have Policies In Place To Deal With An “Online Reputation Crisis” Including “Act Quickly, Publish Official Response, Remove Content And Rally Supporters”

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

Hospitality Industry Theft Risks: Hawaii Hotel Employee Arrested For Stealing $11,000 Worth Of Jewelry And Goods From Luggage In Storage Room

“…a review of video surveillance of the storage room revealed that Bueno allegedly entered into the storage room through the service elevator, picked up and concealed the bags within his work cart and exited the hotel securitystorage room…a few minutes later shows (him) allegedly reentering the storage room and placing the bags back on a bellman cart, then exiting again through the service elevator…”

An employee from a hotel in Wailea was arrested on Monday on suspicion of theft after a couple visiting from Maryville, MI, reported more than $11,000 in jewelry and other goods missing from their bags after check-in, police said. Maui police arrested resort houseman, John Bueno for alleged second degree theft in connection with the incident.

According to police reports, the couple arrived at the hotel at around 1:20 p.m. on Monday Feb. 11, checked their bags with a bellman, and proceeded to the pool area to wait until their room was ready.

A few minutes later, police say the female visitor returned to the bell desk and inquired about one of the bags to retrieve an item from within. A check of the storage room found all of their bags missing, and a search of the area by security personnel and hotel managers turned up with negative results.

A few minutes later, another check of the storage room revealed that the bags were returned; however, upon checking each bag, it was learned that various pieces of jewelry and a camera totaling $ 11,100 were missing, said Maui Police Lt. Wayne Ibarra.

Bueno was placed under arrest later that afternoon, and posted bail, which was set at $1,000. He is scheduled to appear in court at 10:30 a.m. on March 14, 2013.

For more:  http://mauinow.com/2013/02/14/wailea-hotel-worker-arrested-in-theft-case/

Comments Off on Hospitality Industry Theft Risks: Hawaii Hotel Employee Arrested For Stealing $11,000 Worth Of Jewelry And Goods From Luggage In Storage Room

Filed under Crime, Guest Issues, Labor Issues, Liability, Risk Management, Theft

Hospitality Industry Health Risks: “Norovirus Food Poisoning” Class-Action Lawsuit Filed Against Wyoming Restaurant; Health Department Report Confirms Outbreak Source

“…according to the WDOH, 31 employees who worked at the Golden Corral restaurant were infected with norovirus while working…the lawsuit was filed on behalf of (those who) purchased food or drink at the Golden Norovirus OutbreakCorral Casper restaurant between November 20, 2012 and December 13, 2012 and (were exposed to) diarrhea and vomiting from multiple employees of the Golden Corral…”

Customers of the Casper, Wyoming Golden Corral filed a class action lawsuit against the restaurant Friday, alleging they were part of a norovirus food poisoning outbreak that was traced to food served at the restaurant in December. The lawsuit was filed in Federal District Court in Wyoming (Case Number 13CV024J) by Jason Ochs of The Ochs Law Firm and William Marler of Marler Clark.

According to a Wyoming Department of Health (WDOH) report, at least 305 patrons of the Casper Golden Corral restaurant became ill with norovirus infections after eating at the restaurant between November 17, 2012 and December 19, 2012. Norovirus infection causes nausea, diarrhea and/or vomiting and is highly infectious. Investigators from the Wyoming Department of Health Infectious Disease Epidemiology Program and Casper-Natrona County Health Department stated in their report that they were not able to determine exactly how norovirus was introduced to the restaurant, but said ill food-handlers could have contributed to the spread of norovirus among Golden Corral patrons.

The complaint states that named plaintiff Paul Feyhl, a Casper resident, ate at the Golden Corral restaurant on December 8, 2012 and subsequently fell ill with norovirus. According to court documents, the lawsuit was filed on behalf of Mr. Feyhl and “others similarly situated” who purchased food or drink at the Golden Corral Casper restaurant between November 20, 2012 and December 13, 2012 and whose exposure to norovirus was caused by:

1.    Exposure from diarrhea and vomiting from multiple employees of the Golden Corral
2.    Consumption of contaminated food and drink prepared by Golden Corral employees
3.    Exposure to, or close proximity with, persons who ate food or drink at the Golden Corral restaurant or were exposed to the restaurant’s infected employees.

For more:  http://www.prweb.com/releases/2013/2/prweb10414517.htm

Comments Off on Hospitality Industry Health Risks: “Norovirus Food Poisoning” Class-Action Lawsuit Filed Against Wyoming Restaurant; Health Department Report Confirms Outbreak Source

Filed under Food Illnesses, Guest Issues, Health, Insurance, Labor Issues, Liability, Management And Ownership, Training

Hospitality Industry Safety Risks: Wisconsin Hotel Guest Files “Personal Injury Lawsuit” After Being Hit By Rider On Hotel’s Waterslide

“…(plaintiff) was at the hotel waterpark and went down the “Cyclone” waterslide. When he stood up in the pool below the slide’s trough, the complaint states, he was hit by another rider. The collision caused him to fall Hospitality Industry Injury Lawsuitsbackward and sideways, striking his head and neck on the slide’s trough…”

A Waukesha man has filed suit against Country Springs Hotel, saying it was negligent when it allowed a rider to travel down a waterslide after him, resulting in a collision. Robert and Dale Flowers, a married couple residing in Avalon Square Senior Housing in downtown Waukesha, filed a personal injury lawsuit Wednesday in Waukesha County Circuit Court against Country Springs Hotel. The couple is seeking unspecified damages from the incident that occurred nearly three years ago, according to the complaint.

The lawsuit claims Country Springs Hotel did not have a video feed available to employees to tell them when a rider cleared the slide. Instead, they have one employee at the top of the waterslide telling riders when to go and another at the bottom of the slide.

Robert Flowers received “pain, suffering and disability, hospital expense, medical expense, loss of earnings and earning capacity,” according to the lawsuit. His wife, Dale, “sustained the loss of services, society and companionship of her husband,” according to the complaint.

For more:  http://waukesha.patch.com/articles/waterslide-collision-at-country-springs-hotel-results-in-personal-injury-lawsuit

Comments Off on Hospitality Industry Safety Risks: Wisconsin Hotel Guest Files “Personal Injury Lawsuit” After Being Hit By Rider On Hotel’s Waterslide

Filed under Claims, Guest Issues, Injuries, Insurance, Labor Issues, Liability, Maintenance, Training

Hospitality Industry Legal Risks: New York Restaurant Sued By Former Delivery Workers For Deducting Money To Pay For “Online Order Service Fees”

“…the judge (stated) that tip deductions “were only permissible to the extent that they ‘did not enrich [the employer], but instead, at most, merely restored it to the approximate financial posture it would have occupied Hospitality Industry Lawsuitif it had not undertaken to collect credit card tips for its employees…the restaurant unlawfully retained almost $17,000 and compared the practice to passing on the cost of rent or materials to delivery workers…”

A lawsuit brought by former delivery workers against an Upper West Side restaurant that deducted money from their tips to pay the service fees of food-delivery Web sites can proceed, a federal judge has ruled. The ruling came in a suit filed against Indus Valley, on Broadway at West 100th Street, where eight former delivery workers say the restaurant kept 12 to 15 percent of their tips when customers placed their orders through services like Seamless and Grubhub.com.

Indus Valley sought to have the suit dismissed. It admitted to withholding the workers’ tips but said the practice was permissible to recoup fees charged by online delivery sites, in the same way that restaurants are allowed to deduct a percentage from tips left via credit card to cover credit card companies’ fees for converting those tips to cash.

But the judge, Alison J. Nathan of United States District Court for the Southern District of New York, rejected both Indus Valley’s argument and its request to dismiss the suit. A representative from Indus Valley declined to comment.

The service agreements with the delivery Web sites included charges for commissions and “advertisement fees,” in addition to  credit card processing fees. The agreements, Judge Nathan wrote, “suggest that Indus Valley deducted from gratuities costs beyond those incurred as the result of converting credit card gratuities to cash.”

A lawyer for the workers, Jane Chung, said that labor law bars restaurants from taking from workers’ tips without an explicit exemption, and said that the judge’s ruling effectively declares Indus Valley’s practice illegal.

For more:  http://cityroom.blogs.nytimes.com/2013/02/05/restaurant-loses-effort-to-have-ex-delivery-workers-suit-dismissed/

Comments Off on Hospitality Industry Legal Risks: New York Restaurant Sued By Former Delivery Workers For Deducting Money To Pay For “Online Order Service Fees”

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

“2013 Hospitality Law Conference”: Petra Risk Solutions To Host The “Convergence Of Risk Management, Legal Compliance And Loss Prevention” Workshop On Feb 11

Hospitality  Law  Conference flyer-page-001

Hospitality  Law  Conference flyer-page-001

Hospitality  Law  Conference flyer-page-001

Comments Off on “2013 Hospitality Law Conference”: Petra Risk Solutions To Host The “Convergence Of Risk Management, Legal Compliance And Loss Prevention” Workshop On Feb 11

Filed under Conferences, Guest Issues, Insurance, Labor Issues, Liability, Management And Ownership, Risk Management

The “11th Annual Hospitality Law Conference” Welcomes Inaugural “Hotel Owner Management Summit” On Feb 11-13 In Houston, TX

2013 Hospitality Law conf-page-001

The 11th Annual Hospitality Law Conference, located at the Omni Houston Hotel, is the leading conference dedicated to hotel and restaurant legal, safety, and security issues. Since its inception, the conference has dramatically expanded in scope, uniting hundreds of industry executives and other thought leaders around the most pressing issues in the hospitality field. These exciting and educational sessions are crafted to bring attendees up to speed and anticipate future challenges.

2013 Hospitality Law Conference Brochure

Click on “Hospitality” to view Conference Brochure

This year, we are pleased to announce the inaugural Hotel Owner Management Summit (HOMS) that will be co-located at the Hospitality Law Conference (HLC) on February 11, 2013. The HOMS features three tracks that include the New Hotel Development, Management Agreements, and Hotel Investments Boot Camp. With new hotel development on the rise again, this is a great opportunity for owners, brokers, developers, management companies, lenders, receivers, asset managers, and attorneys to converge and discuss the latest trends and best practices. Lawyers learn about the financial aspects of deals and the financial experts have a better understanding of the legal and compliance aspects.

The Conference provides intensive education and exceptional networking among legal, development, risk, finance, HR and operations. (CLE, CPE, HRCI and AH&LA EI credits are available for attendees.)

Conference Schedule-at-a-Glance

February 11th Pre-Conference Workshops

  • The Convergence of Risk Management, Legal Compliance, and Loss Prevention
  • Restaurant and Hotel Corporate Counsel

February 11th Hotel Owner-Management Summit New Hotel Development

  • Management Agreements
  • Hotel Investments Boot Camp

February 12th-13th Hospitality Law Conference General Sessions

  • Lodging
  • Human Resources & Labor Relations
  • Food & Beverage

Register today to attend the conference! Further conference information can be found at http://www.hospitalitylawconference.com/. Please contact Janet Le at janet@hospitalitylawyer.com or call us at 713-963-8800 for additional inquires.

2 Comments

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

Hospitality Industry Legal Risks: Louisiana Hotel Sued By Lobby Concierge For “Age Discrimination”

“…she was terminated in June 2012 from her position as a lobby concierge. At the time of her termination, she Hospitality Industry Lawsuitwas 53 years old…the plaintiff is asking for an award of damages for loss of pay, pain and suffering, mental anguish and distress, medical expenses, interest, and attorney’s fees…”

A former Ritz-Carlton concierge has filed an age discrimination lawsuit claiming she was terminated from her position due to her age and not because she left her shift two hours earlier than scheduled. Claudette Breve filed suit against The Ritz-Carlton Hotel Co. on Jan. 11 in federal court in New Orleans.

Breve began working at the Marriott Hotel in New Orleans in February 1998 and transferred to the Ritz-Carlton Hotel in September  2000.

According to the court record, the defendant states it terminated Breve from her position because she violated hotel policies by leaving work early without the authorization of her supervisor. In response, Breve admits she left her shift early and states that she had arranged for another concierge to cover her shift. The other concierge failed to complete Breve’s shift and the replacement concierge arrived late for a shift. Breve and the person she arranged to complete her shift were fired over the incident, court documents state.

The defendant is accused violating the Age Discrimination in Employment Act.

For more:  http://louisianarecord.com/news/248884-ritz-carlton-concierge-files-age-discrimination-lawsuit-after-termination

Comments Off on Hospitality Industry Legal Risks: Louisiana Hotel Sued By Lobby Concierge For “Age Discrimination”

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

Hospitality Industry Business Risks: Hotel And Restaurant Companies Must Make Plans For “Natural Disasters” That Comply With Federal Employment And Safety Laws

“…Employers only have to pay em­­ployees for hours actually worked, unless they have a collective bargaining agreement or contractual arrangement that says otherwise. Normally, employees are not entitled to pay for Coastal Floodingwork that was scheduled, but did not occur because of the disaster…Floods and other natural disasters may bring allergens and pollutants to the workplace, triggering possible ADA accommodations. Employees may need time off under the FMLA…”

When Hurricane Sandy roared up the East Coast in October, it brought immense destruction to heavily populated areas. Similarly, the June 2012 derecho storm that tore through the Midwest and Mid-Atlantic produced destructive winds and at least one tornado. People in the Midwest and the South are still dealing with prolonged drought.

All brought business to at least a temporary standstill. Employers must be prepared for a variety of disaster scenarios. And while they focus on getting up and running again, they must still comply with federal em­­ploy­­ment laws.

THE LAW: The Fair Labor Standards Act (FLSA) sets strict wage-and-hour requirements for paying employees—regardless of how high the water rises. Floods and other natural disasters may bring allergens and pollutants to the workplace, triggering possible ADA accommodations. Employees may need time off under the FMLA.

Employers that must clean up their facilities may face hazards requiring worker protections under the Occupational Safety and Health Act.

WHAT’S NEW: In the wake of Hur­­ricane Sandy, the U.S. Depart­­ment of Labor has launched a disaster pre­­paredness page with guidance and contact information for both employers and employees.

Additionally, OSHA provides count­­less resources on handling flood and cleanup hazards in its Fact Sheet on Natural Disaster Recovery.

HOW TO COMPLY: Employers must deal with two very practical matters in the aftermath of a natural disaster: workplace cleanup and paying workers. Federal law affects both.

Cleaning up

A major disaster changes the workplace’s entire environment. Power may be out, gas lines may have ruptured, overhead electrical wires may be dangling. All can be deadly.

Cleanup is hard work. OSHA ad­­vises cleanup crews to use good lifting techniques and take frequent breaks. When lifting heavy objects, employees should work in teams so no one has to lift more than 50 pounds alone.

Make first aid kits readily available. Provide training so employees know how to prevent infection by cleaning and protecting cuts and abrasions. Pro­­tective clothing should include watertight boots with steel toes and insoles, long pants, safety glasses and a hard hat if there’s a danger of falling debris.

If cleanup crews encounter mold, they should wear respirators approved by the National Institute for Occupational Safety and Health.

When handling hazardous chemicals, employees must follow specific instructions for protective clothing.

When moving ladders or scaffolds, make sure employees know to watch for low-hanging power lines. When connecting generators to active power systems, instruct them to shut down and lock main breakers to prevent energizing outside power lines on which utility workers may be working. Have expert electricians inspect lines that are damaged or submerged.

Similarly, if anyone detects a gas leak, ensure they know to evacuate the building and notify utility crews.

FLSA issues

Natural disasters can wreak havoc on payroll operations. Maintain redundant systems to avoid losing payroll records and preserve the ability to issue paychecks. Many payroll companies offer cloud or offsite storage of wage-and-hour data so even if your facility is damaged or destroyed, existing payroll information is preserved.

Generally, employers must meet regularly scheduled paydays, but disasters have a way of upsetting normal routines. Employers that anticipate having difficulty meeting payroll should contact the DOL’s Wage and Hour Divi­­sion at (866) 4USWAGE (487-9243) for guidance.

For more:  http://www.businessmanagementdaily.com/34280/disaster-averted-make-emergency-preparedness-part-of-your-job

Comments Off on Hospitality Industry Business Risks: Hotel And Restaurant Companies Must Make Plans For “Natural Disasters” That Comply With Federal Employment And Safety Laws

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

Hospitality Industry Legal Risks: New York Hotel Settles Federal Class-Action Lawsuit For $550,000; “Service And Grutuity Charge” Not Paid To Workers

“…alleged that guests were not told that service charge was part of their bills. The amount of charge varied, depending on the service…in the dining room, standard meals were charged at a certain amount per diner Hospitality Industry Class Action Lawsuitswhether it was $5 or $8 or whatever, per meal, and also that the lodging charges were per night…”

Leatherstocking Corp., owner of the Otesaga Resort Hotel in Cooperstown, has agreed to pay a $550,000 settlement in a federal class-action lawsuit brought by service workers, largely over the distribution of service-charge proceeds. The workers alleged in the suit filed in Albany in 2010 that the hotel’s actions violated New York labor law the federal Fair Labor Standards Act.

The lawsuit also alleged violations of overtime and minimum-wage standards, but the bulk of the case focused on a “service/gratuity” charge that the hotel charged guests and restaurant patrons, according to court papers.

According to court documents, the hotel insisted that it properly distributed all of the service-charge money to employees. The dispute centered on which employees were paid, according to the documents.

The plaintiffs contended that management employees who were not legally entitled to a share of the payments nonetheless received them, while the hotel countered that that all of the people it paid were entitled to a share of the money.

For more:  http://thedailystar.com/localnews/x1746084500/Otesaga-pays-550-000-to-settle-lawsuit

Comments Off on Hospitality Industry Legal Risks: New York Hotel Settles Federal Class-Action Lawsuit For $550,000; “Service And Grutuity Charge” Not Paid To Workers

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