Restaurants have become the target of an onslaught of lawsuits claiming wage-and-hour violations based on improper tipping practices. This type of lawsuit has the potential for individual liability. Owners and managers often get named as defendants.
Additionally, over the last few years U.S. Department of Labor investigators who audit restaurants have found tip credit violations in over 1,500 cases, resulting in nearly $15.5 million in back wages.
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