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Posh Atlantic City Trattoria Settles Suit Over Tip Pooling at Banquets

December 27, 2013

New Jersey Law Journal
By Charles Toutant

A federal court class-action suit alleging an upscale Atlantic City restaurant’s tip-pooling policy violates the Fair Labor Standards Act has been resolved.

Il Mulino, located in Trump’s Taj Mahal on the Boardwalk, has agreed to pay $250,000 to settle the suit, brought on behalf of captains, servers, bartenders, food runners and bus people who complained about having to share tips with non-service personnel.

Cash tips at the restaurant are usually be pooled only among service team members-captains, servers, food runners and bus people-and credit-card tips among the service team and the restaurant manager on duty.

But at banquets, a 22 percent gratuity is charged and allegedly is divided among the service team, kitchen workers, managers and banquet bookers…On Monday, the parties asked U.S. District Judge Jerome Simandle to approve the settlement, reached in mediation with former U.S. Magistrate Judge Joel Rosen, now with Montgomery, McCracken, Walker & Rhoads in Cherry Hill, on June 25, after discovery.

 

For the full article, visit law.com.