Federal lawsuit filed against parent company of Pins Mechanical Co.
A federal lawsuit has been filed against the parent company behind Pins Mechanical Co. after alleged violations of federal and state wage and hour laws, according to a complaint filed April 15 in the U.S. District Court for the Southern District of Ohio.
The suit was brought against Rise Brands by current and former Pins Mechanical Co. employees, particularly servers and bartenders who rely on the “tip credit” provisions of the Fair Labor Standards Act (FLSA) and Ohio wage laws to meet minimum wage requirements, according to the complaint. Approximately 200 current and former Rise employees have joined the lawsuit, according to Bob DeRose of Barkan Meizlish DeRose Cox, LLP, the lead attorney for the plaintiffs.
The lawsuit alleges that these tipped employees at Pins Mechanical Co. were made to place their tips in a tip pool and share them with non-tipped staff, including back-of-house employees, “experience team” members, and even management. This practice, according to the complaint, is an unlawful retention of tips under the FLSA, as the U.S. Department of Labor states employers can require employees that take a tip credit to contribute to a tip pool “only if it is limited to employees who customarily and regularly receive tips.”
The lawsuit also claims that, before the beginning and after the end of scheduled shifts, tipped employees spent “substantial amounts of time performing non-tip-producing and directly supporting work,” including cleaning, stocking, and equipment maintenance tasks, while not receiving the federal minimum wage of $7.25/hr. The suit goes on to claim that, because these tasks were performed before opening and after closing, customers were not permitted in the building, meaning tipped employees weren’t able to obtain tips.
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The plaintiffs are seeking “to recover unpaid minimum and overtime wages, unlawfully retained tips, liquidated damages, restitution, attorneys’ fees, costs, and all other damages available” under the FLSA from Rise Brands and Pins Mechanical Co., according to the complaint.
Rise Brands maintains more than a dozen Pins locations across Ohio, North Carolina, Indiana, Pennsylvania, and Tennessee. The company also operates entertainment brands 16-Bit Bar+Arcade and No Soliciting Bar.
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