This is a Angel's Advocate post.
Earlier this year, beloved celebrity chef Mario Batali agreed to settle a lawsuit brought by his employees for $5.25 million. Their claim? Batali’s restaurants were allegedly confiscating tips from workers to increase profits.
Maybe it comes as a surprise to you; maybe it doesn’t. But wage theft is a pretty common occurrence in the United States. Kim Bobo is the author of Wage Theft in America: Why Millions of Working Americans Are Not Getting Paid-And What We Can Do About It. She says the issue is a systematic problem that’s often assumed and accepted, despite the fact that it’s illegal.
“It’s a business model that is accepted. It’s almost like the Wild, Wild West in terms of wage theft right now. It’s so pervasive in this society,” Bobo says. “I think what happens is that so many of us think it’s just an individual problem. We don’t think about it as sort of a systemic problem.”
Bobo explains that the problem exists in a variety of industries, but especially construction, retail and restaurants. Essentially, low-wage workers are targeted most. In fact, about $2,600 a year is stolen annually per low-wage worker.
And it’s not limited to skimming tips.
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