Tips and Twitter Bring Big Trouble
FLSA continues to be a problem for employers.
The Harvard Club (not affiliated with Harvard University) is an exclusive club in Boston with approximately 5,000 members. When a member orders drinks or food, a 17% gratuity is added to every bill. The club has a no-tipping policy. The staffers make more than most hospitality workers. State law provides that when a customer pays a "service charge", the customer would reasonably expect the money to go to the server in lieu of a tip. In reality, the servers were not given the 17%. The waitstaff sued the Harvard Club, and a settlement has been reached, pending court approval.
Meanwhile, in Alabama, there have been numerous lawsuits (although I have not counted, I would guess at least 100) against Honda Manufacturing. These individual lawsuits are all claiming violations of the FLSA. The time and expense that will be incurred in defending these lawsuits will be enormous. FLSA cases continue to be among the most common filed in Federal court. As we are about to enter the fourth quarter of 2012, now is a good time for employers to review the classification of their employees and make sure they are being properly compensated.
Twitter leads to arrest and indictment of Birmingham man.
Another stupid social media update. According to Al.com, Jarvis Britton of Birmingham apparently tweeted, on June 28, "Free Speech? Really? Let's test this! Let's kill the president". Later that same day, he tweeted "I'm going to finish this, if they get me, they get me! #ohwell. I think we could get the president with cyanide. #MakeitSlow". On June 29, he allegedly tweeted "Barack Obama, i wish you were DEAD!". Secret Service agents met with him to advise him as to the seriousness of what he did, but no further action was taken. On September 14, Britton allegedly tweeted "Let's kill the president. F.E.A.R.". He was arrested last week, and was indicted this week for threatening the life of the President. Another instance of stupidity with social networking.
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