On June 29, 2015, Fitapelli & Schaffer, LLP filed a class and collective action lawsuit in the United States District Court for the District Court for the Southern District of New York against 85 Pearl Street Venture LTD. d/b/a Stone Street Tavern (“Stone Street Tavern”). The lawsuit is filed on behalf of all servers, bussers, runners, bartenders, barbacks, and other similarly situated tipped employees (collectively, “Tipped Employees”) who work or have worked at Stone Street Tavern in New York City.
The lawsuit alleges that the owners and operators of Stone Street Tavern have instituted widespread practices and policies that violate their Tipped Employees’ rights under the Fair Labor Standards Act (“FLSA”) and New York Labor Law (“NYLL”). The lawsuit alleges that Defendants failed to compensate its 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. Additionally, the lawsuit alleges that Defendants failed to pay Tipped Employees the minimum hourly wages to which they were entitled. Specifically, Defendants failed to properly utilize the “tip credit” provision that allows them to pay an hourly rate below the regular minimum wage (currently $8.75 in New York). The lawsuit claims that Defendants failed to properly notify their employees of the “tip credit” provision as required by the FLSA and the NYLL. Further, it alleges that Defendants required Tipped Employees to share a portion of their tips with “non-tipped” employees such as managers. This is important because an employer cannot take advantage of the tip credit provision of the FLSA and the NYLL, which allows them to pay a lower hourly rate, while at the same time requiring these employees to share their hard earned tips with other employees who are not entitled to tips. It also alleges that Defendants paid Tipped Employees a lump sum as compensation for private events that did not fully compensate Tipped Employees at the proper wage rate for all of the hours they worked during private events. This lump sum did not include any portions of mandatory gratuities and/or service charges paid by customers hosting the private events at Stone Street Tavern. The lawsuit alleges that Defendants misappropriated gratuities from Tipped Employees by retaining portions of the mandatory gratuities and/or service charges paid by customers hosting private events.
Further, 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 lawsuit also alleges that the owners of these establishments further violated the NYLL through its failure to provide its employees with proper wage notices and statements.
The employment lawyers at Fitapelli & Schaffer, LLP are strongly committed to protecting the rights of hard working employees. We are seeking to represent all servers, bussers, runners, bartenders, barbacks, and other “Tipped Employees” who work or have worked at Stone Street Tavern. Anyone who works or has worked at Stone Street Tavern should contact us in order to discuss your potential rights under the FLSA. For additional information, please call the employment lawyers at Fitapelli & Schaffer, LLP at (212) 300-0375 or visit our website at www.fslawfirm.com.