Author: Leeds Morelli & Brown, PC: Jeffrey K. Brown

Jeffrey K Brown, Leeds Morelli & Brown, PC

 

Approximately five-hundred current and former busboys, waiters and bartenders have filed a class action lawsuit against their employer, Morrell Caterers.  Owner Scott Morrell allegedly charged clients an 18 percent gratuity but failed to share any of the monies.  The lawsuit alleges that the caterer withheld up to $10 million in gratuities from the employees.  The employees remained silent out fear of losing their jobs.

The employees are represented by Jeffrey Brown, the a managing partner at Leeds Morelli and Brown, P.C. Mr. Brown noted “He [Morrell] would have recommended tips in the contract…bottom line is he deceived the public, he left the patron with the impression that the gratuity and these recommended tips were going to the service employees and he kept everything.”

Morrell is also being investigated by Nassau County District Attorney Kathleen Rice on another matter in which two former employees accused Morrell of violating Kosher rules in its preparation of food.  For full article, article,  and article .

New York and Federal laws protects employees on many levels, by guaranteeing them a proper wage as well as a control on the amount of hours worked. For example, according to New York wage and hour laws, if you work more than six (6) hours in one day, you may be entitled to a lunch break or meal break of at least 30 minutes.  Employers are not entitled to pay for his time, but an employer is not allowed to force an employee to work or allowing an employee to work during this break time.  Furthermore, in all industries and occupations, employees are given an additional 20 minutes between 5 p.m. and 7 p.m. and for those employed on a shift starting before 11 a.m. and continuing after 7 p.m. Read

In addition to New York wage and hour laws, the Fair Labor Standards Act (FLSA), is an Act that establishes standards for minimum wages, overtime pay, and record-keeping to name a few. These standards affect more than 130 million workers, both full‑time and part‑time, in the private and public sectors. As a penalty, willful violators of these rights may be prosecuted criminally and fined up to $10,000. A second conviction may result in imprisonment. Employers who willfully or repeatedly violate the minimum wage or overtime pay requirements are subject to civil money penalties of up to $1,100 per violation. See:

In addition to the safe protections under the FLSA, employees who depend on tips or gratuities can also look to Section 196-d of the New York State Labor Law.  This law holds that employers must not withhold tips from employees.  The law has even been supported by New York state courts such as the Court of Appeals in Samiento v. World Yacht Inc., 10 NY3d 70, which was decided in 2008 held that “any charge purported to be a gratuity,” “should be liberally construed in favor of the employees”.  See Section 196-d of the labor law here:

If you or someone you know is not being paid the gratuities owed for your labor, not being fully compensated for all the time you work, or your employer has improperly calculated your hours worked then you may be entitled to overtime and additional compensation. At Leeds Morelli & Brown, PC, our lawyers have extensive experience in handling employment disputes and knowledge in wage and hour law. Our office focuses on disputes dealing with overtime claims and wage and hour law violations, including violations resulting from improper wage and overtime calculations. We represent employees in wage and hour violations throughout Long Island and the New York City metropolitan area, as well as across the country. For a consultation, contact Leeds Morelli & Brown, PC at 1-888-5-JOBLAW