And you thought those tip jars never amounted to much — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily
  • LinkedIn
  • YouTube
  • Twitter
  • Facebook
  • Google+

And you thought those tip jars never amounted to much

Get PDF file

by on
in Human Resources

After Starbucks baristas won a $105 million verdict in California over tip-sharing, a former barista has filed a nearly identical lawsuit against the company in New York.

Starbucks customarily requires employees to pool all tips, and then divvies them up each week based on hours worked. The company includes supervisors in that pool. Jeana Barenboim claims the practice violates a state law that bars employers or their agents from taking a cut of workers’ tips.

Michael Kirschenbaum, one of Barenboim’s attorneys, says, “We’re making literally the same pitch as was made in the California case.”

Starbucks has strongly protested the California ruling and subsequent copycat cases. “Our tip policy allows hourly partners (baristas and shift supervisors) to receive their fair share of customer tips,” the company said in a statement. “Shift supervisors are not managers and have no managerial authority,” and often do the same work as baristas.

Even some of the baristas acknowledge it’s a close call, as supervisors do not make much more than the baristas. 

Leave a Comment

Previous post:

Next post: