Russian Tea Room Lawsuit

Fitapelli & Schaffer, LLP filed a class action lawsuit in the United States District Court for the Southern District of New York against the owners of “The Russian Tea Room”, located at 150 W. 57th Street, New York, New York 10019 on behalf of all servers, bussers, runners, baristas, bartenders, barbacks, and other “Tipped Workers” who have worked there.
The lawsuit alleges that the owners of this restaurant have instituted widespread policies which violate the Fair Labor Standards Act (“FLSA”) and the New York Labor Law (“NYLL”).

The Plaintiff class alleges that Defendants failed to compensate their employees at a time-and-a-half rate for all hours worked in excess of 40 per workweek, as required under the FLSA and the NYLL. Further, Plaintiffs claim that their “straight time” compensation rate was below the lawful New York and Federal minimum wage rate. Plaintiffs allege the Defendant failed to lawfully utilize a tip credit provision. Specifically, they claim that Defendants failed to properly notify their employees of the “tip credit” provision, or of their intent to apply a tip credit to their wages. Therefore, at all times, Defendants were required to pay the Plaintiff class at or above the minimum wage rate.

The Plaintiff class also claims that Defendants unlawfully misappropriated Plaintiffs’ tips. They claim that Defendants unlawfully demanded, handled, pooled, counted, distributed, accepted, and retained their tips. Additionally, they claim that Defendants unlawfully confiscated and retained a percentage, if not all, of tips earned during private events and on certain regular shifts and that Plaintiffs were unlawfully required to share gratuities with employees who were not entitled to receive them. When one Plaintiff protested this issue to his supervisor, he was fired by ownership in what the lawsuit claims was an unlawful act of retaliation.
The lawsuit alleges that Defendants failed to provide spread-of-hours pay to their employees. Employees who work over 10 hours in a single day, including working time plus time off for meals plus intervals off duty, are required by law to receive an additional hours pay from their employer. The Plaintiff class claims that Defendants failed to keep accurate records of all wages and tips earned, as well as hours worked. The lawsuit also alleges that the owners of these establishments further violated the NYLL through their failure to provide their employees with proper wage notices and statements.

We are seeking to represent servers, bussers, runners, baristas, bartenders, barbacks, and other “Tipped Workers” who work or have worked for Defendants. Eligible employees should contact us in order to join the case. For additional information, please call the employment lawyers at Fitapelli & Schaffer, LLP at (212) 300-0375 or visit our website at www.fslawfirm.com.