Workers for Shanghai Cafe in Chinatown in Manhattan have come forward alleging years of wage and hour violations by senior management, claiming that workers were paid as little as a $1.27 an hour and that tips were withheld illegally.
Six workers, many who have been with the restaurant for years, had been fired after new owners took over the operations of Shanghai Cafe. During the transition, the employees complained to the new owners about the illegal practices. Once the issue was raised, all of the employees in question were terminated.
The food service industry seems to be plagued by employers failing to pay adequate wages, overtime and fair tip sharing. All employees, no matter what industry or line of work they are in deserve the full protection of laws guaranteeing fair treatment and pay for their work. The allegations against Shanghai Cafe are disappointing, and should be taken seriously.
For more information on what protections workers have against working excessive overtime, and rules about tip sharing check out our website here: FLSA/Wage and Hour Cases.