NEW YORK (Legal Newsline) – A proposed class action was filed against the owners of a popular New York-based barbecue chain, alleging that the restaurant failed to pay its tipped workers the “proper” minimum wage.
The lawsuit, filed in the U.S. District Court for the Southern District of New York Thursday, also alleges Dinosaur Bar-B-Que failed to pay its workers overtime pay and spread-of-hours pay, as required by the Fair Labor Standards Act and the New York Labor Law.
The named defendants include Dinosaur Restaurants LLC, JLN-Store Inc. f/k/a Dino-Store Inc., Soros Strategic Partners LP, and founder and CEO John Stage.
According to the 31-page complaint, plaintiff Ashley Hankins filed the lawsuit on behalf of herself and others similarly situated, including servers, bussers, runners and bartenders.
Hankins, of Bronx, N.Y., worked as a server at the chain’s Harlem restaurant from July 2012 until January 2015.
The plaintiff class alleges that Dinosaur did not inform them of the tipped minimum wage or tip credit provisions of the FLSA or the NYLL; therefore, they argue, the restaurant chain should have paid them the full minimum wage rate — currently $8.75 in New York — rather than the tipped minimum wage rate — currently $5 in New York.
The class also alleges that Dinosaur required tipped workers to perform significant amounts of non-tipped “side work” such as cleaning and stocking, “in excess of 20 percent of their time at work.”
According to the complaint, during these periods, the restaurant compensated them at the tipped minimum wage rate rather than the full minimum wage rate as required under law.
Also according to the complaint, up until late 2013, Dinosaur required tips from in-house gatherings to be distributed to employees who are not entitled to tips under the FLSA and/or NYLL.
Specifically, tipped workers were required to share 17 percent of their tips with back-of-the-house kitchen workers, and were required to pay a $10 management fee to managers.
Lastly, the class alleges that tipped workers “consistently” worked in excess of 10 hours per day without ever being compensated one additional hour of minimum wage.
The lawsuit seeks to recover the difference between the tipped minimum wage rate and the full minimum wage rate, premium overtime pay for hours worked in excess of 40 per work week, spread-of-hours pay and the amount of tips that were distributed to the employees who are not entitled to tips.
The suit also seeks to recover statutory damages under the NYLL for Dinosaur’s alleged failure to provide accurate wage statements and wage notices, and failure to maintain accurate records of wages, tips earned and hours worked by employees.
New York law firm Fitapelli & Schaffer LLP is representing the plaintiff class.
Dinosaur specializes in authentic barbecue, using a wood-fueled barbecue pit. It also offers a variety of sauces, which are available for purchase on its website.
The restaurant first opened in downtown Syracuse in 1988. Since then, it has opened seven other locations in New York, New Jersey and Connecticut. Two more locations are planned for Chicago and Baltimore.
“We have been made aware of the allegations,” Dinosaur said in a statement Tuesday. “We have no further comments at this time.”
From Legal Newsline: Reach Jessica Karmasek by email at [email protected].