Hudson’s Seafood House on the Docks Facing Lawsuit Over Tip Pooling Practices

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Two former employees have sued Hudson Seafood Corporation over allegations that some workers weren’t paid the proper minimum wage. According to the lawsuit, the defendant required servers and bartenders to share portions of their tips with “back of the house” employees who do not customarily and regularly receive tips.

The defendant, which runs Hudson’s Seafood House on the Docks, allegedly took a “tip credit” and paid the plaintiffs at a rate of $2.13 per hour. The issue, the lawsuit says, is that the plaintiffs and other tipped employees were required to share some of their tips with non-tipped workers, such as those who handled janitorial duties and “rolled silverware.” The complaint argues that as a result of being required to share tips with back-of-the-house, non-tipped employees, the plaintiffs should not have been paid at the tipped minimum wage, but rather at the full federal minimum of $7.25 per hour.