Little Rock Eatery Grady’s Restaurant Hit with Wage and Hour Complaint Over Tip Credit Application

New to ClassAction.org? Read our Newswire Disclaimer

Grady’s Pizza & Subs, Inc. is the defendant in a proposed class and collective action filed by two plaintiffs who claim the Little Rock, Arkansas eatery failed to pay proper wages. The plaintiffs, who worked as servers, were paid pursuant to a tip credit, yet spent more than 20 percent of their time performing non-tipped tasks around the defendant’s restaurant, the lawsuit states. According to the case, the amount of time the plaintiffs allegedly spent handling non-tipped responsibilities should have precluded the defendant from paying the women at the reduced tip-credited hourly rate. Moreover, the plaintiffs claim they never received proper notice that the defendant would be applying a tip credit to their wages.

“[The plaintiffs] and other servers were required to work at $2.63 per hour when the dining room was closed, when they were doing side work not in the dining room, and also when they were doing cut work,” the complaint reads. “Upon information and belief, [Grady’s Restaurant] does not distinguish between time spent by servers on tipped work and time spent by servers on non-tipped work.”