N.Y. Operators Request Revisions to Wage Laws

September 7, 2009 – In The News
Nation's Restaurant News

New York's restaurant community is pushing for change in the wage-related laws governing tip-sharing, overtime pay and uniform care. Operators and other interested parties recently testified before the 2009 Wage Board that the industry would benefit from clarification on, among other things, tip sharing and tip pooling and how overtime rates are calculated for tipped employees whose employers receive tip credits. It is hoped that changes will help reduce the number of tip-sharing and wage and hour lawsuits that have recently plagued New York restaurant operators, according to Carolyn Richmond. "A lot of issues came to a climax this year, and certainly there is a need for change,” she said. “The amount of class-action lawsuits has [skyrocketed]—just look at the [court] docket for the Southern District of New York. It’s fair to say that almost on a daily basis a wage-and-hour class-action lawsuit is filed against a restaurant, from the mom-and-pop shops to the large restaurant companies.”