Santa Clara, CA: Gallaghers Steakhouse in Manhattan is facing an unpaid wages and overtime class action lawsuit filed by wait staff who allege the company is “blatantly stealing wages”.
Filed in New York federal court by former server Christian Beauchamp, the suit names Gallaghers Steakhouse, its parent company and owner Dean Poll in the class action, which is claiming violations of Fair Labor Standards Act (FLSA) and New York labor law.
According to the complaint, Beauchamp worked at Gallaghers Steakhouse from August to November 2015. During that time, he alleges that employees did not receive minimum wage or overtime pay.
“All the class members were subject to the same corporate practices of Gallaghers ... of failing to pay all minimum wage, overtime and call-in pay due to misappropriating class members’ tips, and failing to provide class members with required wage notices,” the complaint states.
Beauchamp claims in the suit that during the term of his employment he typically worked five or six eight-hour shifts each week and Gallaghers automatically deducted 30 minutes from his pay for each shift. The defendant claims the deduction was for the period taken for a meal break, even though the restaurant knew Beauchamp didn’t take a break and lost two and a half hours’ worth of wages every week.
Further, Beauchamp alleges he was paid an hourly rate that was lower than the federal and state minimum wage because he received a “tip credit” minimum wage under the FLSA and NYLL. However, because the defendant had not given Beauchamp appropriate notice of the credit, Gallaghers was not entitled to use the tip credit, the suit asserts.
“Specifically, defendants did not distribute to plaintiff a notice and acknowledgment of pay form as required by New York Labor Law 195 at each of the required times,” the complaint states. “Because defendants misapplied the tip credits to plaintiff’s wage, the rate under which they paid plaintiff for overtime was also incorrect.”
Beauchamp as lead plaintiff seeks relief for the FLSA claims as a proposed opt-in collective action on behalf of all service employees other than managers who worked at Gallaghers during the three years before the complaint was filed.
Beauchamp is represented by D. Maimon Kirschenbaum and Lucas C. Buzzard of Joseph & Kirschenbaum LLP. The case is Beauchamp v. Gallagher's Famous LLC et al., case number 1:17-cv-03109, in the U.S. District Court for the Southern District of New York.
