Category Archives: Training

Hospitality Industry Employment Risks: South Carolina Hotel Settles Sexual Harassment And Retaliation Lawsuit With EEOC For $90,000

“… from at least August 2007 until January 2009, the hotel’s male general manager subjected the women to sexual comments, sexual advances and unwelcome touching. When Tamara Byrd reported the sexual harassment to the defendants’ corporate office, the defendants failed to properly investigate or stop the harassment. The general manager then discharged Byrd. The EEOC contends that Byrd’s discharge was because she refused the general manager’s unwelcome sexual advances and in retaliation for her complaints of sexual harassment to the corporate office…”

The operators and management company of a Holiday Inn Express in Simpsonville, S. C., will pay $90,000 to settle a sexual harassment and retaliation lawsuit filed by the U.S. Equal Employment Opportunity Commission (EEOC), the agency announced Monday.

The agency had charged that the defendants, Imperial Investments Greenville, Inc. and Imperial Investments Group, Inc., violated federal law by subjecting several female employees to a sexually hostile work environment at the hotel. The lawsuit further charged that one woman was unlawfully fired in retaliation for complaining about the sexual harassment. Such alleged actions violate Title VII of the Civil Rights Act of 1964 which prohibits sex discrimination, including sexual harassment, and retaliation.

According to the EEOC’s suit, the defendants maintained a sexually hostile working environment for Tamara Byrd, Pamela Kral, and Billie Jones. More specifically, the complaint alleged thatIn addition to $90,000 in monetary damages to be split among the harassment victims.

For more:  http://thejobmouse.com/2012/07/05/simpsonville-hotel-to-pay-90000-to-women-subjected-to-sexual-comments-propositions-and-touching-by-male-supervisor/

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

Hospitality Industry Employment Risks: Indiana Restaurants Fined For Child Labor Law Violations Involving Break Regulations

If a minor age 14-17 works six or more hours in a shift, an employer is required to give the minor one or two breaks totaling at least 30 minutes. Hour violations occur when a minor works past the legally defined deadline for the minor’s age.

In most cases, minors may not work during school hours, from 7:30 a.m. until 3:30 p.m., on school days. While 16- and 17-year-olds may work during school hours with written permission from the school, there is no such exemption for 14- and 15-year-olds.

Five East Central Indiana restaurants have been fined within the past year for repeat violations of child labor laws.

The Ponderosa Steakhouse in Portland received the biggest penalty, $2,200, after its third violation in a year of break regulations involving minors.The restaurant also was fined $400 for hour violations involving two minors.

Modern child labor laws serve a dual purpose based on their roots in compulsory education, according to the Indiana Department of Labor. The first is to make certain that young people pursue education, and the second is to protect young workers from suffering injury, illness or death in the workplace.

One East Central Indiana employer received a warning for employing a minor in a hazardous/prohibited occupation following a workplace fatality.

The labor department gives employers an opportunity to protest violations within 30 days of being notified of a fine. Several restaurants received warnings for employing minors during school hours but were not fined because it was a first offense.

For more:  http://www.thestarpress.com/article/20120702/NEWS01/307020015

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Filed under Labor Issues, Liability, Maintenance, Management And Ownership, Risk Management, Training

Hospitality Industry Property Risks: West Virginia Motel Fire Caused By Manager Frying Food In Room; Structural And Electrical Repairs Delay Reopening

“…(the street) was closed for about four hours because of the fire, and electricity had to be cut to the motel because of damage to the wiring…the Red Cross was called to find places for the few motel guests to spend the night…”

No one was injured in a fire that broke out early Friday at the Jefferson Motel. Kanawha County Fire Coordinator C.W. Sigman said a manager at the MacCorkle Avenue motel was frying some food at about 12:45 a.m. when the grease caught on fire and set fire to the room. Firefighters were able to contain the blaze to the manager’s area, he said.

Sigman said the motel will not be allowed to reopen until repairs are made and the electrical system is fixed and inspected.

For more:  http://wvgazette.com/News/201206220029

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Filed under Fire, Insurance, Liability, Maintenance, Management And Ownership, Training

Hospitality Industry Property Risks: Ohio Restaurant Kitchen Fire Causes $60,000 In Damage; Source Is Cooking Material Buildup In Vent System

“…The cause of the fire, which was contained in about 20 minutes, was blamed on a buildup of cooking material inside the ducts at Boi Na Braza’s cooking range vent system…”

A minor fire that broke out in the ductwork of a restaurant in the Carew Tower Sunday night caused $60,000 in damage, Cincinnati firefighters announced early today. Firefighters responded to the eatery for a similar incident in October.

This time, the fire was contained to the restaurant’s ductwork on the sixth floor of the Carew Tower. No one was injured.

Boi Na Braza and a neighboring restaurant, Morton’s The Steakhouse, were evacuated and closed early on Father’s Day, typically a busy evening for most eateries. The Hilton Cincinnati Netherland Plaza also was partially evacuated while fire crews investigated.

For more:  http://communitypress.cincinnati.com/article/AB/20120618/NEWS/306180012/Carew-Tower-fire-damage-60-000?odyssey=nav%7Chead

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Filed under Fire, Insurance, Maintenance, Management And Ownership, Risk Management, Training

Hospitality Industry Payment Fraud Risks: Florida Hotels Victims Of $15,000 Scam By Guests; Legitimate Credit Cards "Switched" To Prepaid Debit Cards

“…(three men) racked up roughly $15,000 in charges at several Disney hotels earlier this year and then left without paying before hotel staff ever realized what happened…Each man checked into a hotel with a legitimate credit card but then switched the room charges to prepaid debit cards that each had less than $10 in value…”

Falk, 36, told deputies they pulled off the scam by taking advantage of a loophole in the way Disney charges resort guests that he discovered during a legitimate vacation four years ago. Then they charged thousands in theme-park purchases to their rooms. Since the hotel limited charges to between $1,000 and $1,500 per room, the fraudulent purchases went undetected since they stayed below those amounts, they told deputies.

Nero, 39, told deputies they visited resort hotels seven times and reserved a total of 13 rooms from February to April. The three could still be living the high life had it not been for a vigilant cigar shop employee, a report says. The employee contacted authorities after Falk allegedly came into the shop several times to buy hundreds of dollars worth of pricey cigarettes.

The employee told police that Falk was spending more money than most of the other customers but what really made him suspicious was that Falk never seemed to care what brand of cigarettes he bought. According to the shop owner, most smokers are loyal to their brands.

For more:  http://articles.orlandosentinel.com/2012-05-31/news/os-disney-hotel-scam-20120531_1_hotels-shop-owner-room-charges

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

Hospitality Industry Compliance Risks: Hotels Must Have "Written ADA And Local Accessibility Policies And Procedures" To Avoid Costly Litigation

 “…(without) written ADA and local accessibility policies and procedures for your hotel or timeshare property, then you are taking unnecessary risks…New Guest Room Requirements for Mobility and Communication Features requirements apply to new and altered public accommodations…”

What Can You Do to Avoid Liability?

  • TrainingTraining is critically important, and it can help prevent expensive litigation. Thought must go into the preparation of an accessible room, and the approach must be different depending on the disability of the individual who has booked the room. JMBM performs site inspection surveys and works with hotel operators to train the staff to address the needs and concerns of individuals with disabilities.
  • ADA Surveys/Site Inspections – Even if you own or operate a newly constructed property, an ADA Survey will likely reveal areas of non-compliance and rooms for improvement in policies and procedures. By working with a CASp (Certified Access Specialist program) certified consultant, you may enjoy certain protections against liability while you seek to bring your property into compliance.
  • Website Accessibility – This is an area of focus for the Department of Justice. This area is evolving, but your website must already comply with all current reservation requirements.

For more:  http://hotellaw.jmbm.com/2012/05/ada_compliance_panel.html

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

Hospitality Industry Legal Risks: Hotel Management Must Review Social Media Policy For Employees To Ensure Restrictions Do Not Violate "NLRB Section 7 Rights"

“…in late February 2012, the NLRB filed a complaint against a group of Hyatt Hotels alleging, among other things, that the restrictions placed on the use of social media, such as admonitions not to comment on hotel properties or locations, or to use the Hyatt brand/logo or photos of the properties, were overboard and discriminatory…”

The NLRB reports expressed concerns regarding attempts by an employer to block — for example — employees from using a company’s trademarked logo in social media. That was considered, generally, to be in violation of an employee’s Section 7 rights.

“Interests protected by trademark laws — such as the trademark holder’s interests in protecting the good reputation associated with the mark from the possibility of being tarnished by inferior merchandise sold by another entity using the trademark and in being able to enter a related commercial field and use its well-established trademark, and the public’s interest in not being misled as to the source of products using confusingly similar marks — are not remotely implicated by employees’ non-commercial use of a name, logo, or other trademark to identify the Employer in the course of engaging in Section 7 activity” (2012 Report).

Yet, such disclaimers are sometimes required by the Federal Trade Commission. In fact, under the revised regulations published by the FTC in 2009, if anyone other than a company or the brand owner itself advertises or talks about the company’s product or service, the FTC requires the disclosure of the relationship between the “talkee” and the “brand,” so that potential consumers understand that the recommendation or information contained in the social-media posting could be biased (See generally 16 C.F.R. §255.)

For more:  http://www.hreonline.com/HRE/story.jsp?storyId=533347702

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

Hospitality Industry Legal Risks: "Americans With Disabilities Act" (ADA) "Website Accessibility" Lawsuits Will Force Hotels To Update Websites To Service Disabled Guests

“…Charles Schwab… announced last week that they settled a year-long claim by a blind customer that its website was inaccessible to blind, low vision and cognitively challenged customers….”

 Not only does your website need to comply with the substantive requirements for listing hotel accessible features, for example, but the website itself needs to be accessible to disabled customers.

You need to ask yourself some questions. For example:

  • What standards of accessibility is your website hosting?
  • How do you measure website compliance?
  • How often do you audit your website for ADA compliance?

Charles Schwab joins a list of 15 prominent companies which have settled website accessibility complaints. Charles Schwab agreed that it will make its website more accessible and inclusive for all customers, and agreed to implement the Web Content Accessibility Guidelines (WCAG) Version 2.0 Level AA which will make its website navigable by disabled customers.

An informal complaint backed by the threat of litigation and administrative investigations was lodged with Charles Schwab by the lawyer for a blind day trader. The claimant was a long-time Schwab customer and herself a computer programmer. One morning, she found that she could no longer navigate the Schwab website using JAWS software and was prevented from making trades on-line. The

The Department of Justice (DOJ) has not approved and adopted any formal standards for website accessibility and recently withdrew its Notice of Proposed Rule Making for web access standards. The Web Accessibility Initiative (WAI) has been working for years and has promulgated the WCAG which is widely recognized as the “gold standard” for web access. However, given the almost daily changes in technology and the complexities of cyberspace, there are no official website standards.

Most recent DOJ investigations and settlements have focused on website accessibility. Target Corp. recently paid over $6 million to settle a website ADA class action.

For more:  http://hotellaw.jmbm.com/2012/05/ada_compliance_-_charles_schwab_settlement.html

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Filed under Guest Issues, Legislation, Liability, Maintenance, Management And Ownership, Technology, Training

Hospitality Industry Employee Risks: Minnesota Restaurant Must "Reinstate" Fired Workers With "Back Pay" According To National Labor Relations Board Ruling

 “…the judge ruled the workers must be reinstated within 14 days and are eligible for back pay — about $10,000 each…”

Six local Jimmy John’s workers fired more than a year ago should get their jobs back, a National Labor Relations Board judge ruled last week. The workers were fired after plastering parts of the Twin Cities with fliers claiming the restaurant’s customers were at risk of illness because of a sick-day policy requiring workers to find their own replacement if they were sick.

On Friday the judge ruled the workers must be reinstated within 14 days and are eligible for back pay — about $10,000 each, according to an estimate by Erik Forman, who lost his job at the West End Jimmy John’s store in St. Louis Park, Minn.

The stores’ owners have not yet decided whether to appeal the judge’s ruling.

“It’s a big victory. It’s not unexpected for us — we’ve known for a long time that our posters and our right to speak out about health and safety issues are legally protected,” Forman said. “But we’re glad to see that we’re one step closer to getting back to work and exercise our right to organize.”

In a March 2011 letter to franchise co-owner Rob Mulligan, Jimmy John’s workers called the sick-day policy a risk to the public’s safety, as it required workers to find their own replacement or go unpaid if they didn’t work, creating an incentive to work while ill.

For more: http://www.mndaily.com/2012/04/24/fired-jimmy-john%E2%80%99s-workers-work-again-judge-rules

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

Hospitality Industry Employment Risks: California Supreme Court Ruling Mandates That State's Hotels And Restaurants Need Only Make Employee "Meal And Rest Periods Available"; Not Required To Ensure "Actually Taken"

The Court makes clear the following: “When someone is … employed … for five hours, an employer is put to a choice: it must (1) afford an off duty meal period; (2) consent to a mutually agreed-upon waiver if one hour or less will end the shift; or (3) obtain written agreement to an on duty meal period if circumstances permit. Failure to do one of these will render the employer liable for premium pay.” Brinker, p. 35.

At issue in Brinker Restaurant Corporation v. Superior Court was whether California employers must ensure that their employees actually take their meal and rest periods or merely make them available. To the collective relief of California employers, the court found that an employer must only provide meal and rest periods to its employees, leaving the employees free to use the period for whatever purpose they desire. The employer is not obligated to ensure no work is performed during the period.

The Court continues: “[a]n employer’s duty with respect to meal breaks … is an obligation to provide a meal period to its employees. The employer satisfies this obligation if it relieves its employees of all duty, relinquishes control over their activities and permits them a reasonable opportunity to take an uninterrupted 30-minute break, and does not impede or discourage them from doing so.” Brinker, Slip Opinion, p. 36 (emphasis added).

The Court further acknowledged that what will suffice may vary from industry to industry, but held, “the employer is not obligated to police meal breaks and ensure no work thereafter is performed. Bona fide relief from duty and the relinquishing of control satisfies the employer’s obligations, and work by a relieved employee during a meal break does not thereby place the employer in violation of its obligations and create liability for premium pay.” Brinker, p. 36-7 (emphasis added).

For more: http://hotellaw.jmbm.com/2012/04/brinker_v_superior_court.html

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