Owners of Nanoosh Restaurant Facing Minimum Wage FLSA Suit

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The owning and operating entities of New York Mediterranean restaurant Nanoosh have been hit with a class action claiming they failed to pay employees the minimum wage required by federal and state law. The suit claims the defendants employed the plaintiff as a delivery driver even though he spent a considerable amount of time performing non-tipped, non-delivery-related responsibilities. The defendants allegedly took a tip credit to which they were not entitled because the plaintiff’s non-tipped duties exceeded 20 percent of his entire workday. Wrongful disguising the plaintiff’s work duties in payroll records, the suit claims, allowed the defendants to avoid paying the minimum wage. Under the Fair Labor Standards Act (FLSA) and state labor laws, to be eligible for a tip credit employers must either “allow employees to keep all the tips that they receive, or forgot the tip credit and pay them the full hourly minimum wage.”