Tag Archives: Restaurant Employees

by | August 29, 2013 · 5:59 am

Hospitality Industry Legal Risks: Ohio Restaurant Operator Sued For “Fair Labor Standards Act” Violations And “Unjust Enrichment”; Employees Forced To “Tip Out” Managers And Others Not Regularly Receiving Tips

“…According to the lawsuit, restaurant employees weren’t allowed to keep all of their tips because they were required to “tip Hospitality Industry Wage Violation Lawsuitsout” managers and other employees who do not regularly and customarily receive tips. That resulted in employees’ being paid less than minimum wage…a tip pool can’t include managers or other workers, such as chefs or dishwashers, who don’t typically receive tips…The lawsuit requests a jury trial for five counts of Fair Labor Standard Act violations and a count of unjust enrichment. It seeks an unspecified amount in damages that (the attorney) said would ultimately prove “substantial.””

A federal lawsuit filed Monday alleges that Jeff Ruby Culinary Entertainment, which runs Jeff Ruby’s Steakhouse and Jeff Ruby’s Carlo & Johnny, forced employees to share tips with managers and other workers in violation of the Fair Labor Standards Act. The practice allegedly stopped about a year ago, but lawyers for three former employees aim to recoup losses from a two-year period beginning in 2010.

Lawyers Sarah Clay Leyshock and Kristen M. Myers – both of the law firm Beckman Weil Shepardson LLC – filed the class-action suit on behalf of the three former employees as well as anyone else who might step forward in the case. Two of the represented employees worked at Carlo & Johnny in Montgomery while the third worked at the Downtown steakhouse, Leyshock said.

“Under the Fair Labor Standard Act, employees are required to retain their own tips. The one exception is that employees can be required to share their tips in a valid tip pool,” Leyshock said. She said invalid tip pools are fairly common, but still illegal.

For more:  http://news.cincinnati.com/article/20130827/NEWS/308270075/Suit-Two-Ruby-eateries-skimmed-tips

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by | August 15, 2013 · 5:53 am

Hospitality Industry Legal Risks: Pennsylvania Restaurant Sued By EEOC For “Gender Discrimination”; Female Workers Paid “Lower Hourly Wage”, “Fewer Regularly Scheduled Hours”

“…These women were subjected to a double whammy of discrimination,” said District Director Spencer H. Lewis, Jr., of the EEOC’s Philadelphia District Office. “They were paid a lower hourly wage and regularly scheduled for fewer work hours than their male counterparts. That’s why we EEOCredoubled our efforts to win justice for them…EEOC Regional Attorney Debra M. Lawrence added, “The EEOC is strongly committed to enforcing the equal pay laws and will take whatever action necessary to defend people’s rights in the workplace…”

Enforcement of equal pay laws and targeting compensation systems and practices that discriminate based on gender is of one of six national priorities identified by the EEOC’s Strategic Enforcement Plan.

Market Burgers, L.L.C., doing business as Checkers, a fast food restaurant chain, violated federal law by paying women less than men and scheduling them for fewer hours than their male counterparts because of gender, the U.S. Equal Employment Opportunity Commission (EEOC) charged in a lawsuit it announced today.

EEOC General Counsel David Lopez said, “This case demonstrates the significance of the agency’s strategic enforcement plan, reminding employers that the agency will exercise its authority to eliminate sex-based wage disparities in the workplace.”

According to the EEOC’s suit, LaToya Snyder began working as a cashier/sandwich maker at the company’s Checkers restaurant in West Philadelphia and was promoted to a shift manager position in 2010. The EEOC charges that Checkers routinely paid Snyder and other female shift managers lower wages than male shift managers even though they performed the same duties, including giving assignments and directions to other employees and scheduling and approving breaks. Checkers also paid female cashiers/sandwich makers less than their male counterparts even though they did substantially equal work, according to the lawsuit.

The EEOC further charges that Checkers suppressed the wages of Snyder and other female shift managers and cashiers/sandwich makers by scheduling them for 20 to 25 hours per week, even though they had requested full-time hours, while their male counterparts routinely were scheduled to work, on average, more than 30 hours per week. The general manager also required female employees to leave work early if the restaurant was not busy while male employees were permitted to work a full eight-hour shift.

For more:  http://www.eeoc.gov/eeoc/newsroom/release/8-12-13.cfm

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by | August 6, 2013 · 12:51 pm

Hospitality Industry Crime Risks: New York Restaurant Employees Arrested For Identity Theft; Skimming Device Used To Steal 30 Customer Credit Cards

“…four (employees) were arrested…(and) found to have outstanding federal warrants for deportation and turned over to the Department of Hospitality Industry Identity TheftHomeland Security…Heng Li, 27 of Brooklyn had a credit card skimming device and a counterfeit Michigan ID card.  He was charged with possession of a forged instrument, scheme to defraud, unlawful possession of a skimmer device and unlawful possession of personal identification information, it is also believed he is in this country illegally…”

The Bethlehem Police Department raided the Golden Town Buffet Monday morning in connection with an identity theft investigation.  The restaurant is located at 385 Route 9W in Glenmont.

According to the department, customers credit card and debit card information was compromised after they ate at the restaurant sometime between June 14th and August 5th.  Bethlehem Police are asking anyone who used their card at the restaurant during that time frame to check their bank statements and immediately report any fraudulent transactions to their respective bank and local law enforcement agency as soon as possible.

The Bethlehem Police are being assisted in this investigation by the Albany Police, Colonie Police, New York State Police New Scotland, New York State Police Clifton Park, East Greenbush Police, US Secret Service and Department of Homeland Security.

Li was arraigned in the Town of Bethlehem Justice Court on Monday evening and remanded to the Albany County Jail without bail.  He is due back in court on Thursday.

For more:  http://www.cbs6albany.com/news/features/top-story/stories/police-golden-town-buffet-customers-credit-debit-card-information-stolen-10092.shtml

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by | August 2, 2013 · 6:09 am

Hospitality Industry Legal Risks: Missouri Restaurant Owes Six “Undocumented Alien Workers” $450,000 In Back Pay And Penalties; Court Rules “Federal Labor Law Trumps Federal Immigration Law”

“…The court held that “aliens, authorized to work or not, may recover unpaid and underpaid wages” under rights granted by the Fair Labor Hospitality Industry Wage Violation LawsuitsStandards Act…The appellate judges said that “numerous district courts, including the one in this case, and the secretary of labor all agree: Employers who unlawfully hire unauthorized aliens must otherwise comply with federal employment laws…”

In a case that pit U.S. labor law against immigration law, a panel of federal appellate judges has ruled that six undocumented workers are owed about $450,000 in back pay and penalties for uncompensated work at a Kansas City restaurant — the popular Jerusalem Cafe in Westport. The 8th Circuit U.S. Court of Appeals said this week that federal labor law trumped federal immigration law in this instance.

The court ruled that a former owner and former manager of Jerusalem Cafe could not argue that the workers were in the United States illegally and therefore lacked standing to sue for unpaid wages.

That argument, the appellate panel said, is akin to saying that Al Capone couldn’t have been prosecuted for tax evasion because his earnings were illegally made. (The infamous mobster was jailed on such charges.)

The lawsuit said five of the six workers had each worked 77 hours a week at the restaurant. It said the workers were known to lack official work authorizations and were paid in cash on a weekly basis.

The case attracted national attention, prompting the U.S. secretary of labor to file a brief on behalf of six workers who were employed at the restaurant in the period spanning 2007 to 2010.

Read more here: http://www.kansascity.com/2013/08/01/4383369/court-says-undocumented-workers.html#storylink=cpy

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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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by | June 10, 2013 · 6:01 am

Hospitality Industry Health Risks: Arizona Restaurant Kitchen Workers Suffer “Heat-Related Illnesses”; “Inoperative Air Conditioning System” Leads To Hospitalization Of 3 People

“…the air conditioning in the kitchen at the restaurant may have been out for up to a week…A 19 year employee was having Restaurant Kitchen Health Riskstrouble breathing, and complained of being light-headed and dizzy…Soon after 10 other employees said they too were feeling ill…In all three people were taken to the hospital with heat related illnesses, the remaining eight were treated and released…”

Northwest Fire, along with emergency medical personnel are on scene at a McDonald’s Restaurant located at 8280 North Cortaro Road. The restaurant was evacuated after 11 employees became ill. Firefighters with the Northwest Fire District said they initially thought hazardous materials was the cause, turns out it was heat related.

Captain Adam Goldberg says, “It is a hundred and some odd degrees outside, 96 degrees inside and for anybody who doesn’t prepare for high temperatures certainly they will feel the effects of that heat, and some who are not in good physical condition to begin with will feel those effects sooner.”

The 19 year old is listed in serious condition, the other two are stable.

For more:  http://www.kvoa.com/news/mcdonald-s-employees-suffer-heat-symptoms/

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by | June 5, 2013 · 6:33 am

Hospitality Industry Legal Risks: Texas Restaurant Group Faces “Wage Violation Class-Action Lawsuit” Over Tip Sharing, Food Discount Deductions

“…(the lawsuit) alleges that a Rainforest Cafes policy illegally required servers to share their tips with some employees who were not part of the wait staff…(plaintiffs were forced) to split tips with hosts, who do not qualify as wait staff because they do not serve food or beverages, or clear Hospitality Industry Wage Violation Lawsuitstables…The suit also targets a “discount program” at Rainforest Cafe that deducts a flat fee from employee paychecks to cover any drinks consumed at work and provides a discount on food…the deduction is too high and violates state law by requiring employees to pay more for food than it costs the employer…”

A Boston law firm filed a suit seeking class-action status Monday against one of the nation’s largest restaurant groups alleging the company’s Rainforest Cafe in Burlington violated state wage laws. Two servers employed at the Rainforest Cafe since 1998 are named plaintiffs in the case. Hundreds of workers might qualify for damages, according attorney Hillary Schwab of Fair Work, P.C.

The defendant, Landry’s Inc., is the Houston parent company of more than 40 restaurants chains across the county with total US sales of about $1.67 billion last year, according to restaurant industry research firm Technomic. Landry’s, run by chief executive Tilman J. Fertitta, a Houston billionaire, owns a number of restaurants groups with a presence in Massachusetts, including Morton’s The Steakhouse, Chart House, McCormick & Schmick’s, and the Oceanaire Seafood Room.

The plaintiffs are seeking restitution for all gratuities not received, wages not paid in full, money deducted from pay, and all court and attorney fees. Schwab said she will attempt to determine whether the tip practice is limited to the Rainforest Cafe or is a Landry’s corporate policy that might affect other restaurants in the state.

For more:  http://www.bostonglobe.com/business/2013/06/03/rainforest-cafe-servers-sue-restaurant-over-tip-policy/IOwix0twRIooe1FP8Cz4fJ/story.html

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by | May 27, 2013 · 6:37 am

Hospitality Industry Employment Risks: Mississippi Restaurant Sued For “Race Discrimination” By EEOC; Hired Only Whites As Servers, Bartenders And Other Front-Of-The-House Positions

“…The EEOC  claims Stone Pony Pizza refused to hire African-American  applicants as a class for certain positions because  of their race.  Stone Pony is alleged to  have hired only whites for front-of-the-house positions such as server,  hostess, waitress, and bartender, and hired African-EEOCAmericans for  back-of-the-house positions such as cook and dishwasher. Additionally, the EEOC  charged that Stone Pony maintained a  racially segregated workforce and failed to keep job applications as required  by law…”

Stone  Pony Pizza, Inc., a Clarksdale pizza restaurant and bar, violated federal law  by refusing to hire a class of African-American applicants because of their  race, according to a lawsuit filed on Friday, May 17, 2013 by the U.S. Equal  Employment Opportunity Commission (EEOC).

The EEOC filed suit, Civil Action No., 4:13-cv-00092, filed in U.S. District Court for the Northern District of  Mississippi, Greenville Division, after first attempting to reach  a pre-litigation settlement through its conciliation process. The  suit was brought under Title VII of the Civil Rights Act of 1964 which  prohibits discrimination based on race and color.  The suit seeks monetary relief in the form of  back pay, compensatory and punitive damages, hiring relief and an injunction  against future discrimination.

“Employers simply cannot  refuse to hire applicants based on their race, nor can they segregate employees  into certain positions based upon their race,” said Katharine Kores, district  director of the

EEOC’s Memphis  District Office.  “Applicants should be  evaluated based upon their qualifications, not the color of their skin.”

Eliminating barriers in recruitment and hiring, especially  class-based recruitment and hiring practices that discriminate against racial,  ethnic and religious groups, older workers, women, and people with  disabilities, is one of six national priorities identified by the Commission’s  Strategic Enforcement Plan.

For more:  http://www.eeoc.gov/eeoc/newsroom/release/5-20-13.cfm

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by | May 18, 2013 · 6:48 am

Hospitality Industry Legal Risks: EEOC Issues Revised Protections Against “Disability Discrimination” Including “Employees With Cancer, Diabetes, Epilepsy And Intellectual Disabilities”

Disability discrimination also occurs when a covered employer or other entity treats an applicant or employee less favorably because she has a history of a disability (such as cancer that is controlled or in remission) or because she is believed to have a physical or mental impairment that EEOCis not transitory (lasting or expected to last six months or less) and minor (even if she does not have such an impairment).

The law requires an employer to provide reasonable accommodation to an employee or job applicant with a disability, unless doing so would cause significant difficulty or expense for the employer (“undue hardship”).

The law also protects people from discrimination based on their relationship with a person with a disability (even if they do not themselves have a disability). For example, it is illegal to discriminate against an employee because her husband has a disability.

The U.S. Equal Employment Opportunity Commission (EEOC) today issued four revised documents on protection against disability discrimination, pursuant to the goal of the agency’s Strategic Plan to provide up-to-date guidance on the requirements of antidiscrimination laws.

The documents address how the Americans with Disabilities Act (ADA) applies to applicants and employees with cancer, diabetes, epilepsy, and intellectual disabilities. These documents are available on the agency’s website at “Disability Discrimination, The Question and Answer Series,” http://www.eeoc.gov/laws/types/disability.cfm.

“Nearly 34 million Americans have been diagnosed with cancer, diabetes, or epilepsy, and more than 2 million have an intellectual disability,” said EEOC Chair Jacqueline A. Berrien. “Many of them are looking for jobs or are already in the workplace. While there is a considerable amount of general information available about the ADA, the EEOC often is asked questions about how the ADA applies to these conditions.”

In plain, easy-to-understand language, the revised documents reflect the changes to the definition of disability made by the ADA Amendments Act (ADAAA) that make it easier to conclude that individuals with a wide range of impairments, including cancer, diabetes, epilepsy, and intellectual disabilities, are protected by the ADA. Each of the documents also answers questions about topics such as: when an employer may obtain medical information from applicants and employees; what types of reasonable accommodations individuals with these particular disabilities might need; how an employer should handle safety concerns; and what an employer should do to prevent and correct disability-based harassment.

For more:  http://www.eeoc.gov/eeoc/newsroom/release/5-15-13.cfm

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by | May 8, 2013 · 6:10 am

Hospitality Industry Health Risks: Nevada Restaurant Sued After “Salmonella Food Poisoning” Outbreak; “Inadequate Hand Washing, Handling Of Food With Bare Hands, Improper Food Storage” Violations Found

“…health inspectors were sent to the restaurant to investigate…they found multiple violations including: employees handling ready-to-eat food with bare hands, inadequate hand washing by foodhandlers; inadequate or missing cooling and heating logs for food; raw ground beef stored Salmonella Enteritidisover cooked chicken and raw seafood; fruit flies and small moths in the cooking area; and broken cooking thermometers and foods not being held at proper temperatures…”

A Pennsylvania woman has filed a lawsuit against the Firefly on Paradise, a Las Vegas restaurant. She is seeking compensation for allegedly contracting Salmonella food poisoning from the restaurant. She is being represented by Fred Pritzker, Brendan Flaherty and Ryan Osterholm, who are also representing several other people allegedly sickened in the outbreak.  Pritzker, Flaherty and Osterholm are part of PritzkerOlsen law firm’s Bad Bug Law Team.

The firm’s client is one of the 89 people sickened in a Salmonella outbreak associated with the Firefly. She and her husband were visiting Las Vegas in late April. On April 24, they ate dinner at Firefly on Paradise. Two days later, she developed symptoms that included nausea, fever, abdominal cramps and bloody diarrhea. She is still receiving medical treatment.

According to the complaint, those foods include but are not limited to: pork, calamari, garlic in oil, potatoes, tortilla empanada, lettuce, shrimp, mussels, claims, chicken and fish. The restaurant has been closed during the outbreak investigation to reduce the risk to public health.

For more:  http://foodpoisoningbulletin.com/2013/salmonella-lawyers-file-lawsuit-against-firefly-restaurant-in-las-vegas/

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