NEW YORK - Seasoned travelers know that
waiters in the United States expect tips of 15 to 20 percent —
$60 on a $300 dinner for two at one of New York’s top
restaurants.
What is less well known is that the money
doesn’t all go to the waiters and more lowly staff.
In lawsuits filed in the last three years,
staff have accused dozens of New York restaurants, including
many well-known ones, of stealing tips and cheating them out of
wages.
Among those named in the suits are celebrity
haunt Pastis; three New York restaurants co-owned by actor
Robert De Niro in the global Nobu chain; Jean Georges — which
has three Michelin stars — and other restaurants owned by French
chef Jean-Georges Vongerichten; and hip hop star Jay Z’s 40/40
Club.
Peruvian Ivan Arias said he was happy just to
have a job when he came to New York and found himself working as
a busboy at the Redeye Grill, an eatery in midtown Manhattan
where eight of its signature "dancing shrimp" cost $39.
But Arias, 36, said he soon realized he was
being cheated out of overtime, breaks and promotions, and denied
a fair share of tips.
"The conditions were not OK. They did not pay
me tips. They did not pay me overtime," Arias told Reuters.
In June, a New York judge approved the first
payment in a settlement totaling $3.9 million for workers at the
Redeye Grill and five other restaurants owned by the Fireman
Hospitality Group.
As part of the settlement, Fireman agreed not
to let managers share in tips.
A spokesperson for the company did not return
a call seeking comment. A spokesman for the New York State
Restaurant Association was not available for comment.
Carolyn Richmond, an attorney representing
several restaurants, blamed decades-old workplace labor laws, as
well as state and federal laws that do not clearly state who can
share in tips and how they should be divided.
"It is a result of these antiquated laws and
regulations that plaintiff class action lawyers have been able
to swoop in and take advantage," she said.
Indeed, the suits, filed mainly by low-paid
immigrants who work as dishwashers and busboys, has emboldened
usually white front-of-house staff to file their own suits.
The restaurants have also accused a nonprofit
group called the Restaurant Opportunities Center, which
organized protests outside the Redeye Grill, of orchestrating a
campaign based on unfounded accusations.
But an attorney for the center, Rekha Eanni,
said the lawsuits show that poorly paid immigrants were losing
their fear of speaking up.
"It’s really significant that this is the
first time — this meaning in the past six or so years — when
workers are really coming forward," said Eanni.
Since the suit was filed against Fireman,
dozens of similar ones followed. Some are still pending while
others have settled.
Vongerichten has agreed to pay $1.75 million
to eight waiters who filed suit on behalf of all staff at Jean
Georges and four of his other New York restaurants, pending
final approval by a judge.
And last year celebrated chef Daniel Boulud
agreed to settle for an undisclosed amount with immigrant
workers at his restaurant, Daniel. They accused the restaurant
of promoting white French workers ahead of nonwhites.
Arias, married with a young daughter, now
works as a busboy at Craftbar, an offshoot of one of the city’s
top restaurants, Craft. Whereas at the Redeye Grill he earned
$400 for up to 60 hours a week, he now earns around $600 for 35
to 40 hours, he said.
"Now I am happy, with my tips, with my check,
every time," he said.
Julio Anzures, who received a payout of
$20,000 in a settlement with a restaurant owned by Smith and
Wollensky in 2003, said conditions have improved since the
lawsuits started.
"I feel good not about the money but about
the change of conditions," said Anzures, who has since moved up
from dish washer to line cook and who sends most of his money
home to his family in Mexico. "After these campaigns there are
now breaks and overtime."
But he and others say there is still abuse.
"The people that make the laws, they know what is happening
in the industry," Anzures said. "They need to make more
changes." – Reuters