Cracker Barrel Underpaid Tipped Employees, Lawsuit Alleges

New to ClassAction.org? Read our Newswire Disclaimer

A proposed collective action alleges Cracker Barrel has failed to properly pay tipped employees for non-tipped and off-the-clock work.

Want to stay in the loop on class actions that matter to you? Sign up for ClassAction.org’s free weekly newsletter here.

The nine-page case was filed by a worker at Cracker Barrel’s Murfreesboro, Tennessee location who claims she and other tipped employees were often required or encouraged to perform work before and after their respective shifts without being compensated at the minimum wage rate of pay required by federal law.

The complaint goes on to explain that defendant Cracker Barrel Old Country Store, Inc. has a “common plan, policy and practice” of paying servers a sub-minimum wage hourly rate plus the tips they receive during their shifts. However, Cracker Barrel has regularly required servers to complete “non-tip producing tasks” while clocked in at the beginning and end of their respective shifts, the suit alleges.

As a result of the defendant’s tip-credit compensation plan, employees have received sub-minimum wage rates while performing such unrelated “dual occupation” side tasks, the filing contends.

According to the case, the restaurant chain’s failure to pay employees at least minimum wage for off-the-clock hours and non-tip work violates the Fair Labor Standards Act (FLSA).

The lawsuit looks to represent all current and former hourly-paid tipped employees who work (or have worked) for Cracker Barrel during the applicable statute of limitations period.

Get class action lawsuit news sent to your inbox – sign up for ClassAction.org’s free weekly newsletter here.