Category Archives: Management And Ownership

by | July 6, 2013 · 12:35 pm

Hospitality Industry Legal Risks: California Labor Commissioner’s “Wage Claims Unit” Aggressively Investigating Wage Theft Claims And Assessed Record Penalties Of $51Million In 2012; Retaliation Cases Pursued Immediately

“…the wage claims adjudication unit — the largest unit within the labor commissioner’s office that handles more than 35,000 claims a year brought by workers alleging they were denied proper wages — in 2012 heard wage claims within an average of 179 days from Hospitality Industry Wage Violation Lawsuitsthe date of filing, the shortest amount of time since 2008…If employees are retaliated against for cooperating with the state in a workplace investigation, the agency investigates those cases immediately…”

The California Labor Commissioner’s office last year assessed more than $51 million in civil penalties against businesses flouting labor laws, making for record-breaking results that have much to do with the office’s move away from conducting broad employer sweeps to instead zeroing in on bad actors, the agency’s chief told Law360 on Thursday.

The agency, led by State Labor Commissioner Julie Su since April 2011, focuses primarily on adjudicating wage theft claims, inspecting workplaces for wage and hour violations, and investigating retaliation complaints, and the agency’s report in May revealed that the office’s increasingly targeted efforts are paying off.

The agency’s bureau of field enforcement in 2012 uncovered more than $16 million in unpaid minimum and overtime wages owed to workers in the state, more than any previous year on record, and the more than $51 million in total civil penalties assessed in 2012 marked a 150 percent increase from 2010.

But an even more telling finding is how much the bureau has improved on workplace inspections resulting in civil penalty citations. Out of every 10 inspections, eight led to citations last year, resulting in a citation rate of 80 percent, a big increase from an average citation rate of 48 percent between 2002 and 2010, according to the report.

For more:  http://www.law360.com/articles/453869/calif-labor-chief-sharpens-focus-on-workplace-violators–

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by | July 3, 2013 · 12:21 pm

Hospitality Industry Legal Risks: North Carolina Franchise Restaurant Sued By EEOC For “Pregnancy Discrimination”; Refused To Hire Woman Who Was Six Months Pregnant

“…(the plaintiff) interviewed for a team member position with the restaurant’s owner at the restaurant around Nov. 16, 2012…at the time of the interview Morrison was six months pregnant.  During the interview, the owner asked Morrison a series of pregnancy-related questions such as EEOChow many months she had been pregnant; when she was expected to deliver; her childcare plans after giving birth; and how much maternity leave she planned to take…”

“Working women who choose to have children cannot be penalized or treated differently from other employees simply because they are pregnant,” said Lynette A. Barnes, regional attorney for the EEOC’s Charlotte District Office.  “Employers must remember that refusing to hire a woman because she is pregnant violates federal law, and the EEOC will enforce that law.”

A Chick-fil-A franchise restaurant violated federal law when it refused to hire a female job applicant because she was pregnant, the U.S. Equal Employment Opportunity Commission (EEOC) charged in a lawsuit filed today.

According to the EEOC’s complaint, John Charping, d/b/a Chick-fil-A at Concord Commons, refused to hire Heather Morrison because she was pregnant.    Although Morrison felt that the owner’s questions were inappropriate, she answered them because she wanted the job.  Three days after the interview, the owner called Morrison and informed her that she would not be hired.  The owner told Morrison to call back after she had the baby and had childcare in place.  The EEOC argues that Chick-fil-A at Concord Commons denied Morrison a job because she was pregnant.

Such alleged conduct violates Title VII of the Civil Rights Act of 1964, as amended by the Pregnancy Discrimination Act (PDA).  The EEOC filed suit in the U.S. District Court for the Middle District of North Carolina (Equal Employment Opportunity Commission v. John Charping d/b/a Chick-fil-A at Concord Commons, Civil Action No.1:13-CV-00535), after first attempting to reach a voluntary pre-litigation settlement through the agency’s conciliation process.  The suit seeks back pay, compensatory damages and punitive damages for Morrison, as well as injunctive relief.

EEOC Supervisory Trial Attorney Tina Burnside added, “Pregnant women must be treated in the same manner as other applicants, and employers should not make inquiries related to pregnancy or deny a woman a job based on pregnancy.”

The EEOC enforces federal laws prohibiting discrimination in employment. Further information about the Commission is available on its web site at www.eeoc.gov.

For more:  http://www.eeoc.gov/eeoc/newsroom/release/6-2-13a.cfm

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by | July 2, 2013 · 1:07 am

P3 Hospitality Industry Risk Report: “Hospitality Hoaxes And Scams” By Petra Risk Solutions’ Director Of Risk Management Todd Seiders, CLSD

[vimeo http://vimeo.com/52048409]

P3Petra Risk Solutions’ Director Of Risk Management, Todd Seiders, CLSD , offers a P3 Hospitality Risk Update – ‘Hospitality Hoaxes And Scams’.

P3 (Petra Plus Process) is the Risk Management Division of Petra Risk Solutions – America’s largest independent insurance brokerage devoted exclusively to the hospitality marketplace.

For more information on Petra and P3 visit petrarisksolutions.com or call 800.466.8951.

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Filed under Guest Issues, Injuries, Labor Issues, Liability, Management And Ownership, Risk Management, Training

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by | July 1, 2013 · 12:08 pm

Hospitality Industry Insurance Solutions: “HospitalityLawyer.com” Presents “Live Webinar” On “The Healthcare Act” On July 10

HospitalityLawyer Live Webinar July 10 Healthcare Act

HospitalityLawyer Live Webinar July 10 Healthcare Act page 2

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by | June 29, 2013 · 6:00 am

Hospitality Industry Employment Risks: Massachusetts Hotel Manager Charged With Stealing Over $300,000 Over Two Years; Created Fake Employees And Cashed Checks

“…the fake employees would appear on the payroll and receive a paycheck.  Anjanel would then ask another person to cash the checks and that Hotel Employee Theftperson would give all of the money to the defendant…Anjanel would also wire the money to Guatemala, using her own name and also asking others whom she knew to wire the money on her behalf…Over the two year period, Anjanel stole more than $300,000 from the two hotels…”

A Lawrence woman was arraigned Friday on larceny charges for allegedly stealing more than $300,000 from two hotels where she worked as a manager, according to a release from Middlesex District Attorney Marian Ryan.

Authorities allege that in 2010 when Anjanel was working as the manager of the Residence Inn at 1775 Andover Street in Tewksbury, she was responsible for and had access to hotel finances including payroll and petty cash, as well as the authority to make hiring decisions.

According to the release, Anjanel used her responsibilities as manager to add three employees to the hotel’s payroll. These employees were never on the schedule, and never actually worked at the hotel, according to the release.

For more:  http://tewksbury.patch.com/groups/police-and-fire/p/hotel-manager-charged-with-stealing-from-tewksbury-hotel

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by | June 28, 2013 · 6:33 am

Hospitality Industry Health Risks: Oklahoma Motel “Forced To Close” By City Officials Over Bed Bug Infestation, Mold, Water And Sewer Issues

“…City officials said the motel has been under surveillance for about a year and the owners have been told numerous times to fix problems with Hotel Bed Bugs Infestationbed bugs, mold issues, as well as water and sewer…Code enforcement officers said an angry customer called them to complain after noticing bed bug bites on her children and roaches falling from the ceiling…”

A motel in Ardmore is shut down after bed bugs and other issues pose a threat to customers. The Regency Inn located on 2705 on North Commerce St. in Ardmore was forced to close its doors after it failed a city code inspection.

The motel was shut down and customers were forced to leave the building. They said the motel will stay closed until the owner’s fix the issues and it meets city codes.

The owners declined to comment but said they’ll take care of the issues.

For more:  http://www.kten.com/story/22708184/ardmore-motel-shuts-down-after-bed-bug-investation

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by | June 27, 2013 · 6:25 am

Hospitality Industry Legal Risks: Massachusetts Restaurant Faces “Disabilities Lawsuit” After Terminating Employee With Cystic Fibrosis

“…(the plaintiff) claims she told her boss on March 28, 2012, that she would be late for work the Hospitality Industry ADA Lawsuitsfollowing day since “a nurse would be coming to her house to draw blood to check her medication levels.”…That was the first time Connell had mentioned her cystic fibrosis to any of her supervisors, the lawsuit says. It does state, though, that a manager overseeing her was aware of her cystic fibrosis and was encouraged to keep that information private…”

Chipotle Mexican Grill Inc. was sued on Monday by a former employee claiming the company violated the Americans with Disabilities Act and the Civil Rights Act of 1991. According to the Boston Business Journal, the plaintiff, Amanda Connell, filed the lawsuit in U.S. District Court in Massachusetts. Connell has cystic fibrosis and was hired to work for the company in December 2011. She worked as a crew member at the Franklin, Mass., location.

When she showed up for work on March 29, 2012, with a shunt showing partly in her arm — it was for a “peripherally inserted central catheter” — the suit says she was questioned by her boss and another manager. Connell explained that it was “for the treatment of lung disease.”

According to the suit, Connell was terminated from her job at Chipotle Mexican grill the next day.

The company has declined to comment on the incident with a spokesman saying they will not speak, pending legal action.

For more:  http://www.ibtimes.com/former-employee-sues-chipotle-after-she-says-she-was-fired-having-cystic-fibrosis-1324995

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by | June 25, 2013 · 7:02 am

Hospitality Industry Health Insurance: Restaurant Industry Continues To Assess Options, Costs Of Implementing “2010 Affordable Care Act” Next January; #1 Issue For Small Businesses

“…restaurants employ roughly 10 percent of the workforce both in Georgia and nationwide. While many dining establishments have fewer than health insurance national50 employees and therefore won’t be subject to the mandate, others will be affected…the cost of health insurance has been the No. 1 issue facing small businesses, according to surveys by the National Federation of Independent Business…(margins) are so thin, there’s only X amount of dollars…(if health insurance was affordable) you’d have everybody insured.”

Steve Simon is co-founder of Fifth Group Restaurants, which operates seven restaurants and other businesses in the Atlanta area, employing more than 500 people. Currently, Fifth Group offers health insurance to its managers only.

But under the 2010 Affordable Care Act, when it is fully implemented next January, a business with 50 or more full-time workers must offer all employees working at least 30 hours a week a health plan that’s considered “affordable.” If it doesn’t, the business must pay a penalty.

Despite all the concern in the industry, some restaurant operators say the law’s impact may not be as great as originally feared. They cite the fact that to count as affordable coverage under the law –– thus escaping the penalty –– a business can charge workers up to 9.5 percent of their annual wages to pay for insurance. So if a worker is making $30,000 a year, the business can set his or her share of the premium at $2,850 annually, or $237.50 per month.

The restaurant owners say many workers will avoid such premiums by going without coverage, choosing instead to pay the ACA’s penalty of $95 for uninsured individuals.

For more:  http://chronicle.augusta.com/news/health/2013-06-24/restaurant-industry-nervously-eyes-aca-s-changes-insurance-rules?v=1372103979

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by | June 22, 2013 · 8:38 am

Hospitality Industry Safety Risks: “Safety And Health Among Hotel Cleaners” Report From CDC And National Institute For Occupational Safety And Health (NIOSH)

CDC Hotel Safety and Health Among Hotel Cleaners

CDC Hotel Safety

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by | June 21, 2013 · 6:26 am

Hospitality Industry Legal Risks: South Carolina Hotel And Manager Sued For “Sexual Harassment”; Created “Hostile Environment”, Failed To Discipline

“…(the plaintiffs) claim Charleston Plaza “woefully failed in its duty” to provide a non-hostile and productive work environment free from Hospitality Industry Harassment Lawsuitssexual harassment by failing to discipline, monitor or take appropriate action against Lewis when it first learned of his sexual harassment…Charleston Plaza failed in its duty to exercise reasonable care in supervising the employment of Lewis and by failing to act in a reasonable manner to prevent subsequent tortious conduct from occurring; failed to make clear to its employees that the company took its sexual harassment policy seriously; and negligently, recklessly and intentionally retained Lewis as an employee and exposed (plaintiffs) to Lewis’ offensive conduct, according to the suits…”

Two women say their former employer caused a hostile work environment and caused them damages. Penta Charleston B LLC, which is doing business as Charleston Plaza Hotel, and Andrew Lewis were named as defendants in the suit.

From 2011 to 2012, Lewis created a hostile work environment by making grabbing Cassandra Chapman and Marie Foster in front of hotel guests’ making lewd and sexual comments  about guests and co-workers; and making racial comments about African-American co-workers, according to a complaint filed May 30 in Kanawha Circuit Court.

Chapman and Foster claim they continually expressed to the district manager that Lewis’ sexual comments were unwelcome and unwanted and that his abusive conduct was interfering with their ability to adequately perform their jobs.

For more:  http://wvrecord.com/news/260766-women-say-charleston-plaza-hotel-is-a-hostile-work-environment

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