Posted on 03/08/2024 7:33:54 AM PST by dennisw
Owners and managers at 10 Subway stores in Washington state illegally took money from staff tip pools, the Labor Department says. The stores also reduced staff's hours on their timecards to avoid paying overtime, the DOL said.
The stores have now given $196,000 in tips, overtime wages, and liquidated damages to 100 affected workers.
Owners and managers at 10 Subway stores in Washington state illegally kept $80,000 in staff tips, the Department of Labor says.
The stores, which were under common ownership, let owners and managers take part in the pools for tips left on credit-card payments, the DOL said in a press release on Tuesday. 100 workers lost out on tips because of this, the DOL said.
Under the Fair Labor Standards Act, business owners and managers are not allowed to participate in staff tip pools. Managers and supervisors can only keep tips that they receive directly for services provided solely by them. The stores also manually adjusted employee timesheets to make it appear that they hadn't worked more than 40 hours a week and didn't combine hours for staff who worked shifts across multiple stores in the group, the DOL said. They did this to avoid paying time-and-a-half overtime rates, per the DOL.
Following the DOL's investigation, the stores gave $80,528 in tips and $17,546 in overtime wages to the 100 affected workers, as well as the same amount in liquid damages, totaling just over $196,000.
The stores also paid $22,017 in civil money penalties for the willful nature of the violations.
Subway did not respond to a request for comment from Business Insider.
(Excerpt) Read more at msn.com ...
I worked at a restaurant when I was a teen, my first real job, and they ‘shared tips’.
Never again.....................
They are either really good ok, or really bad. They don't weed out the bad owners because national wants the footprint.
If you want to buy a minimum wage job, get a Subway franchise.
They kept all that and prolly donated some of it heavily to Hamas. And to their mosque. This is my bet.
Americans do not have the cojones to steal from employees like this. Though some were caught 2018 or so in NYC/ Such as that dude who was on TV Mario Batali. He’s been living in rural Michigan with his wife and loving it. Time for him to make a comeback and cook/ be Head Chef in the White House for Donald Trump.
I worked at a Dunkin’ Donuts full-service diner in the ‘60s while in college. Tips weren’t shared. I had big jars full of money. If I had to share tips, I’d be pissed.
That was my first introduction to socialism.
There were workers who didn’t do squat that got the same amount as me.
Needless to say, I didn’t stay around long.
I went to another restaurant.....................
https://mynorthwest.com/3953996/dept-labor-managers-multiple-washington-subway-stole-tips-employees/
One wonders what ethnicity the owner(s) of Jani, Keeyarah. and Kian Enterprises might have been. kya asa non ha?
Altering time sheets to avoid paying overtime, an old trick. In this case it amounts to theft, and the managers and owners involved should go to jail.
This is why I always leave my tip as cash on the table, even when paying by card.
why would anyone leave a tip when they order a Subway sandwich?
I usually ask if the restaurant employees pool their tips. If the answer is yes, I leave a cash tip, handed directly to the server.
“always leave my tip as cash on the table, even when paying by card”
Absolutely......I just make sure I write “cash” on the receipt tip line.....I’ve heard tell of some unscrupulous restaurant employees helping themselves to a tip of their choice if it’s otherwise left blank.
I always pay tips in cash.
Name names. It wasn’t Subway, it was a group of local franchise owners.
“That was my first introduction to socialism.”
LOL! I was going to say the exact same thing. If “sharing” tips isn’t socialism, I don’t know what is. Great waitresses get good tips and then have to give away some to the slackers.
“This is why I always leave my tip as cash on the table, even when paying by card.”
We used to, but have stepped it up. Now we put the cash in the hand of the waiter. We learned it’s very common for other waiters, and even patrons, to scoop up cash on the table.
Over the past 20 years I have never had a decent Subway sandwich. All have been stale bread with very little meat or veggies. Terribly expensive crap.
Maybe they were better years ago. Circa 1994 I used to only eat their meatball subs. They were above good. I never ate any of their Italian type subs with meat/cheese/lettuce/ tomato.
Pretty common for bartenders and wait staff to give part of their tips to kitchen staff, barbacks, etc. Having a well stocked bar and food coming out of the kitchen on time is a big reason customers leave a good tip.
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