Wage and Hour Lawsuits In the Hospitality Industry on the Rise

Recently, there has been a notable increase in lawsuits alleging violations of the Fair Labor Standards Act (FLSA), particularly in the hospitality industry. In fact, a recent Wall Street Journal article highlighted the surge in lawsuits against high-end Manhattan restaurants, noting that similar lawsuits nationwide have doubled in the past decade. This rise can be attributed to workers’ increased familiarity with wage and hour laws and a growing empowerment to assert their rights.

What are your rights under the FLSA? If you have specific questions about the FLSA and whether you are receiving all the entitled benefits, it is best to consult with an experienced Atlanta personal injury lawyer who can address your individual concerns. However, there are a few general rules that apply to most workers. First, all workers are guaranteed to be paid at least the minimum wage. Additionally, non-exempt workers who work more than 40 hours in any workweek are entitled to receive overtime pay at a rate of one and one-half times their regular pay. Specific regulations also apply to tipped employees regarding how tips are collected and distributed. In fact, a 2014 study by the U.S. Department of Labor revealed that wage violations, predominantly in the hospitality industry, result in between $10 million and $20 million of lost worker income per week in New York State alone.

Hopefully, the increasing number of lawsuits will curb violations and lead to greater protections for workers.

For more information or if you have any wage and hour questions, please contact the dedicated Georgia wage and hour lawyers at Buckley Bala Wilson Mew LLP for an immediate case evaluation.