Tag Archives: Hotel Employees

by | December 28, 2012 · 6:50 am

Hospitality Industry Theft Risks: Wisconsin Hotel Manager Charged With Stealing More Than $28,000; Purchased Prepaid Credit And Gift Cards From Company Accounts

A police audit of credit card purchases made by Huff on her company account revealed $19,603 in prepaid Visa and other gift card purchases made at a local grocery store during a six-month period. Investigators also employee theftdiscovered checks Huff wrote for personal use as well as additional credit card purchases for a cellphone, a computer, auto insurance and auto repairs.

A Schofield woman charged with stealing more than $28,000 from two hotels she managed will be sentenced Jan. 10 after reaching a plea deal with prosecutors. Gretchen Huff, 32, was charged in March with embezzlement after investigators discovered thousands of dollars in unauthorized charges to her employer’s credit card for personal purchases. Huff is the former general manager of two Ghidorzi Co. hotels, the Country Inns and Suites in Schofield and the Fairfield Inn and Suites in Weston.

Managers at Ghidorzi Cos. became suspicious of Huff in January after discovering a one-week van rental in August 2011 for $1,029. Police say Huff paid for the rental with a business credit card issued in her name. Huff admitted renting the van to go on vacation with her children in Nebraska and offered to pay back the money. Further investigation by Ghidorzi officials uncovered additional unauthorized charges, including $2,000 for a used car and stereo equipment Huff said she purchased for a boyfriend in Chicago.

For more:  http://www.stevenspointjournal.com/article/20121228/SPJ0101/312280278/Sentencing-set-woman-charged-hotel-thefts?odyssey=mod|newswell|text|FRONTPAGE|s

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by | December 26, 2012 · 6:57 am

Hospitality Industry Legal Risks: Workplace Discrimination Lawsuits Increase As Companies Employ "Ethnically Diverse Labor Force"; Hotel Worker Mocked For His "Accent" Awarded $500,000 Settlement

Earlier this year, an Iraqi hotel worker in Phoenix won a $500,000 settlement from the Four Points Sheraton. EEOCHe claimed his co-workers mocked his accent and called him derogatory names. According to the EEOC, the worker’s managers didn’t take his complaints seriously, which made his workplace situation intolerable.

Workplace discrimination complaints based on national origin, including those involving language ability, increased by 76 percent from 1997 to 2011, according to the EEOC. The agency says the trend reflects a more ethnically diverse labor force.

Civil rights advocates say workplaces have become more hostile toward workers who don’t speak perfect English.

“There’s definitely a climate of fear that’s bad for everyone,” John Mejia, legal director for the American Civil Liberties Union (ACLU), told Insurance Journal.

Some workers have won large settlements in accent-related lawsuits.

For more:  http://www.insidecounsel.com/2012/12/26/accent-related-discrimination-suits-on-the-rise-sa

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by | November 10, 2012 · 7:57 am

Hospitality Industry Employee Risks: California Hotel Settles "Sexual Harassment And Retaliation Lawsuit" With EEOC For $195,000

In 2010, a female employee filed the EEOC charge of discrimination alleging that a male supervisor made sexual comments and referenced an image of a sexual nature.  The female employee further alleged that upon reporting the sexual harassment, the male supervisor retaliated against her by issuing written discipline and treating her differently.

DNC Parks & Resorts at Tenaya, Inc. which operates Tenaya Lodge, a hotel and resort near Yosemite National Park in California, will pay $195,000 and furnish other relief to settle a federal charge of sexual harassment and retaliation filed with the U.S. Equal Employment Opportunity Commission (EEOC), the federal agency announced today.

Following an EEOC investigation, the director of EEOC’s Fresno Local Office determined that there was reasonable cause to believe that the female employee was sexually harassed due to her gender, female, and that she was subjected to retaliation for reporting the harassment, a violation of Title VII of the Civil Rights Act.  The EEOC also found reasonable cause to believe that a class of other female employees was also sexually harassed due to gender.  Tenaya Lodge denied the allegations of sexual harassment and retaliation, and the company did not admit to liability while agreeing to settle the matter.

Following the EEOC’s determination, the EEOC entered into a one-year conciliation agreement with Tenaya Lodge and the female employee in question.  The agreement effectively settles the case administratively, thereby avoiding litigation.  The agreement provides for $100,000 in monetary relief for the female employee who filed the EEOC charge.  An additional $95,000 is designated as a class fund for eligible claimants who also encountered sexual harassment and/or retaliation while working at Tenaya Lodge.

Aside from the monetary relief, Tenaya Lodge will provide equal employment opportunity training for all current employees and, thereafter, for all new hires in the language that the employee understands, along with additional training for managerial and human resources staff on how to deal with discrimination, harassment and retaliation.  Tenaya Lodge also agreed to post a notice about the settlement in English and Spanish; to report future instances of discrimination to the EEOC; and to publicize the settlement via press release.

Workers have the right to report sexual harassment or other forms discrimination on the job without negative repercussions,” said Melissa Barrios, director of the EEOC’s Fresno Local Office.  “We commend Tenaya Lodge for working with the Commission to resolve this matter and for agreeing to implement measures to protect their employees from harassment, discrimination and retaliation.”

For more:  http://www.eeoc.gov/eeoc/newsroom/release/11-7-12.cfm

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by | November 5, 2012 · 7:10 am

Hospitality Industry Employment Risks: Hotels And Restaurant Groups Begin Limiting Employee Hours To Below 30 Hours Per Week To Avoid Health-Care Law Requirements

Several restaurants, hotels and retailers have started or are preparing to limit schedules of hourly workers to below 30 hours a week. That is the threshold at which large employers in 2014 would have to offer workers a minimum level of insurance or pay a penalty starting at $2,000 for each worker.

The shift is one of the first significant steps by employers to avoid requirements under the health-care law, and whether the trend continues hinges on Tuesday’s election results. Republican presidential nominee Mitt Romney has pledged to overturn the Affordable Care Act, although he would face obstacles doing so.

Pillar Hotels & Resorts this summer began to focus more on hiring part-time workers among its 5,500 employees, after the Supreme Court upheld the health-care overhaul, said Chief Executive Chris Russell. The company has 210 franchise hotels, under the Sheraton, Fairfield Inns, Hampton Inns and Holiday Inns brands.

“The tendency is to say, ‘Let me fill this position with a 40-hour-a-week employee.’ “Mr. Russell said. “I think we have to think differently.”

Pillar offers health insurance to employees who work 32 hours a week or more, but only half take it, and Mr. Russell wants to limit his exposure to rising health-care costs. He said he planned to pursue new segments of the population, such as senior citizens, to find workers willing to accept part-time employment.

He described the shift as a “cultural change” toward hiring more part-timers and not a prohibition against hiring full-timers.

CKE Restaurants Inc., parent of the Carl’s Jr. and Hardee’s burger chains, began two months ago to hire part-time workers to replace full-time employees who left, said Andy Puzder, CEO of the Carpinteria, Calif., company. CKE, which is owned by private-equity firm Apollo Management LP,  offers limited-benefit plans to all restaurant employees, but the federal government won’t allow those policies to be sold starting in 2014 because of low caps on payouts. Mr. Puzder said he has advised Mr. Romney’s campaign on economic issues in an unpaid capacity.

For more:  http://online.wsj.com/article/SB10001424052970204707104578094941709047834.html

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by | October 11, 2012 · 6:11 am

Hospitality Industry Legal Risks: Nevada Hotel Settles Employment Discrimination Lawsuit With Justice Department For $49,000; Must Implement New Employment Eligibility Verification Policies

“Employers may not treat authorized workers differently during the employment eligibility verification and reverification process based on their citizenship status or national origin,” said Thomas E. Perez, Assistant Attorney General for the Civil Rights Division.

Under the settlement agreement, Tuscany will pay $49,000 in civil penalties to the United States and full back pay to a victim.  In addition to corrective action already taken, Tuscany also agrees to implement new employment eligibility verification policies and procedures that treat all employees equally regardless of citizenship status, conduct training of its human resources staff on their responsibilities to avoid discrimination in the employment eligibility verification process, and be subject to reporting and monitoring requirements.

The Justice Department today reached an agreement with Tuscany Hotel and Casino LLC in Las Vegas resolving a lawsuit alleging that the company discriminated in the employment eligibility verification and re-verification process.

The Immigration and Nationality Act (INA) requires employers to treat all authorized workers equally during the hiring, firing and employment eligibility verification process, regardless of their national origin or citizenship status.

The department’s case, filed on May 11, 2012, alleged that Tuscany treated non-citizens differently from U.S. citizens during the employment eligibility verification and reverification process.   The complaint alleged the casino required non-citizen employees to provide more or different documents or information than it required from citizen employees during the initial employment eligibility verification process.  According to the complaint, the company then used the documents or information it gathered to impose improper document requests on non-citizens during the reverification process as a condition of continued employment.
The complaint further alleged that the casino subjected non-citizen employees’ documents to a heightened review process by senior human resources representatives that was not applied to documents presented by U.S. citizens.

For more:  http://www.opposingviews.com/i/society/drug-law/justice-department-settles-lawsuit-against-las-vegas-casino-unfair-documentary

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by | October 9, 2012 · 6:32 am

Hospitality Industry Employment Risks: High Hotel Employee Turnover Rates Increase Operating Expenses While Lowering Customer Service Experience And Guest Loyalty

For more:  http://www.hospitalitynet.org/news/154000320/4058028.html

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by | October 5, 2012 · 6:20 am

Hospitality Industry Legal Risks: Workers File Class-Action Lawsuit Against Los Angeles Hotel For "Millions Of Dollars In Unpaid Wages"

“…(the suit) alleges that management has routinely required them to work through required lunch breaks and rest periods and after clocking out…Housekeepers also claim hotel management refused to reimburse them after requiring them to buy cleaning supplies such as sponges and gloves to clean guest bathrooms…”

The suit also alleges that a majority of Holiday Inn LAX employees are earning less than $11.97 per hour, the minimum living wage for hotel workers in the LAX corridor.

Workers at the Holiday Inn Los Angeles International Airport filed a class action lawsuit on Thursday demanding millions of dollars in alleged unpaid wages. A non-union group of bartenders, housekeepers, cooks and other workers filed the suit with support from L.A. hospitality labor union Unite Here Local 11.

Adrian Valencia, general manager at Holiday Inn LAX, said the hotel was surprised by the lawsuit.

“We had never been contacted by the union until Monday, when they stormed in yelling and screaming into the administration offices,” he said. “We pay the annual living wage increase as of July 1 each year and we have some of the best scores for a Holiday in as far as cleaning. We use proper procedures here at the hotel.”

Randy Renick, the attorney representing the workers, said the goal of the suit is to address long-standing labor grievances.

For more: http://www.labusinessjournal.com/news/2012/oct/04/lax-hotel-employees-file-suit-unpaid-wages/

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by | September 22, 2012 · 6:04 am

Hospitality Industry Legal Risks: Indiana Hotel Settles "Racial Discrimination Lawsuit" With EEOC For $355,000

The operators of an Indianapolis hotel have agreed to pay $355,000 to settle allegations they underpaid and fired African-American housekeepers because of their race…the settlement will be divided among 75 employees or job applicants.

The U.S. Equal Employment Opportunity Commission announced Friday that it had filed a consent degree in federal court with     Noble Management LLC and New Indianapolis Hotels LLC, which operate the Hampton Inn on Shadeland Avenue on Indianapolis’ north side.

The agency says the companies also retaliated against black employees who complained about racial bias. The EEOC also says the hotel regularly excluded African-American job applicants who were equally or better qualified than the Hispanic applicants it hired as housekeepers.

For more:  http://www.ibj.com/indy-hotel-to-pay–355-000-to-settle-race-lawsuit/PARAMS/article/36844

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by | September 12, 2012 · 6:09 am

Hospitality Industry Legal Risks: Kansas Hotel Owners Indicted For Hiring "Undocumented Workers And Paying Them In Cash"; Government Seeks "Forfeiture Of Properties"

“…the (hotel owners) are charged with one count of conspiracy to harbor  undocumented workers for personal gain, five counts of harboring  undocumented workers for personal gain and four counts of wire fraud…The government is seeking to forfeit the proceeds of the crimes, including the two hotels the couple own. The government would seize the properties and then sell them, gaining money for taxpayers. The couple failed to pay the government the payroll taxes that they should have…”

The owners of two Kansas City-area Clarion hotels have been indicted on charges of knowingly hiring undocumented workers who were paid less than other employees. Munir Ahmad Chaudary, 51, and his wife, Rhonda R. Bridge, 40, both of Overland Park, own the Clarion Hotel at 7000 W. 108th St. in Overland Park and the Clarion Hotel at 11828 NW Plaza Circle near the Kansas City International Airport.

Both pleaded not guilty on Tuesday. U.S. Attorney Barry Grissom said the grand jury’s indictment alleges Chaudary and Bridge knew they were hiring undocumented workers to serve as housekeepers. This gave them a competitive advantage over law-abiding hotel owners, Grissom said.

“They paid the undocumented workers less and they paid them in cash. Their economic motive was to cut their costs and to get an advantage on other hotels that abided by the law,” Grissom said.

“This prosecution is aimed at unscrupulous employers who are a driving force behind illegal immigration,” Grissom said. “We’re going to go after people who are hiring them.”

The indictment alleges that in December 2011 investigators from DHS Homeland Security Investigations and the Kansas Department of Revenue received information that the two hotels were employing undocumented workers.

Investigators interviewed hotel employees and found out that most of them were illegally in the United States.

In June 2012, an undercover agent took a job as a housekeeper at the Clarion hotel in Overland Park, Grissom said.

The agent made it clear to Chaudary and Bridge when he was hired that he was unlawfully in the United States and had no documents allowing him to be employed, according to the indictment.

For more: http://www.kctv5.com/story/19512719/us-attorney-barry-grissom-holds-news-conference

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by | August 29, 2012 · 1:15 am

Hospitality Industry Legal Risks: Hotel And Restaurant Owners Should Maintain "Employment Practices Liability Insurance" And Institute Complaint Procedures To Reduce Employee Lawsuits

 “…these suits catch employers by surprise since, even if they terminate an employee for a business reason, every separated employee can claim discrimination on the basis of a protected class such as race, gender or sexual orientation…”

Employers who can afford it purchase Employment Practices Liability Insurance (EPLI) to protect their businesses.

In the last three to four years, HR lawsuits have been on the rise, and unfortunately, there does not seem to be any end in sight. The U.S. Department of Labor reports the number of lawsuits related to the Fair Labor Standards Act, alone, increased 35 percent in three years. And this is only one small area that an employer can be sued. The following steps can be taken to minimize lawsuits:

  • Your employee handbook must contain broad and multi-tiered complaint procedures so employees have sufficient recourse when they feel victimized by harassing or discriminating behavior.
  • Provide annual employment law training to all of your supervisors and require them to sign acknowledgments.
  • Educate your employees at the time of hire – during orientation, for instance – about the avenues open to them should they have a problem and need to complain.
  • Most critically, take prompt remedial action when someone complains. In other words, do something about it within 48 hours or less of receiving the complaint. It is best to seek legal advice when such a complaint occurs.

For more:  http://www.floridatrend.com/article/14575/more-employees-are-suing-employers

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