Labor/Employment,
Civil Litigation
Feb. 11, 2020
California tipped workers may now challenge “service charges” as deprivation of compensation
You have probably seen it on a restaurant bill: a notice that a percentage is added to your bill as a “service charge.” But although a reasonable diner may assume this charge will be paid in full as a gratuity to their server, that is not always the case. Now, tipped workers may challenge this practice as deprivation of tipped compensation under California Labor Code Section 351.
Samuel L. Goldsmith
Associate
Bryan Schwartz Law
Phone: 510-444-9300
Email: samuel@bryanschwartzlaw.com
Georgetown Univ Law Ctr; Washington DC
Samuel focuses on employment discrimination and wage and hour claims. Prior to joining Bryan Schwartz Law, Mr. Goldsmith served as a law clerk to the Honorable Laura A. Cordero of the Superior Court of the District of Columbia from 2016 through 2018.
You have probably seen it on a restaurant bill: a notice that a percentage is added to your bill as a "service charge." But although a reasonable diner may assume this charge will be paid in full as a gratuity to their server, that is not always the case. Now, tipped workers may challenge this practice as deprivation of tipped compensation under California Labor Code Section 351, following the California Supreme Court's January 2020 refusal to review $95
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