Feds: Pittsburgh restaurant illegally took workers' tips
A Pittsburgh restaurant illegally forced workers to share tips with managers, supervisors and other employees not usually tipped by customers, federal investigators said Wednesday.
The actions violate the Fair Labor Standards Act, officials said.
The U.S. Department of Labor’s Wage and Hour Division said Provision PGH LLC, operator of the restaurant Provision PGH at the Federal Galley, violated the act. The Federal Galley houses a collection of restaurants on Pittsburgh’s North Shore.
“Tipped employees, such as cashiers, had their tips seized in order to pay the wages of non-tipped employees, including managers,” a news release said. “The employer used a portion of the pooled tips to pay part of the salaries of managers.”
Investigators recovered $41,560 for 12 employees. Provision PGH could not be reached for comment Wednesday morning.
“Provision PGH LLC shortchanged its employees by retaining tips and not complying with the tip credit rules laid out in the Fair Labor Standards Act,” said Wage and Hour Division District Director John DuMont in Pittsburgh. “Restaurant workers are essential workers who depend on their tips to earn a living. They should be paid every penny of their hard-earned wages.”
Statistics show that incidents in which U.S. restaurants forced workers to share tips with managers, supervisors and other employees are not unusual.
Since 2016, the Wage and Hour Division has conducted more than 25,000 investigations of food services establishments, recovering more than $195 million in back wages for more than 195,000 workers throughout the nation.
Department of Labor spokeswoman Leni Fortson said department policy prevents her from disclosing what specifically prompted the investigation.
”It could have been a complaint or a targeted investigation,” she said.
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