Restaurant Owner Ripped Delivery Drivers Off, But They Flipped The Script With Their Knowledge Of Labor Laws
by Matthew Gilligan
This is the kind of story that drives service industry people up the wall.
But there’s a happy ending!
So you have to read the whole story below to get all the details below.
Take a look at what went down!
Take my tips and pay me below minimum wage. See what happens!
“So this all happened years ago when I was still in college.
I worked for a delivery joint. The company seemed super cool, because they provided vehicles instead of forcing you to beat down your own car.
It wasn’t as good a deal as it seemed…
Huge perk right? Well in this case no.
The owner of the company used this as justification to take a percentage of the drivers tips. Often this would result in an employee making below minimum wage.
If you made below minimum wage, you would have to come and pick up your check in person and sign a document attesting that “you did make minimum wage, due to undocumented cash tips”. Or some such nonsense.
There were some issues.
Now this was a problem for two reasons. Number one, in the state I was in, employee tips belonged to the employee unless part of an employee tip pooling agreement. This was plain as day on the Department of labor website.
So that 20% gouge was already crossing a line. Number two, you cannot just hand wave and or force employees to say they made above minimum wage. So pretty shady stuff, right?
Now most people would see this situation and run for the hills (which probably explained the delivery driver turnover being so high). I on the other hand saw the potential. See I am pretty well versed in labor law, and decided that I was gonna ride it out. I wanted to see how long they would keep this stuff up.
They kept track of everything.
Here and there I would make comments to the managers about the legality of their practices, and was often told “Our lawyers said it’s ok, so it’s ok” (would love to meet these lawyers one day). So I patiently waited for a year, documenting every red cent they took from me and encouraging the other drivers to do so.
Every new driver that came through that door got a little pow wow with me, and I would give them the skinny. Unfortunately my plan must have leaked because sooner than later the joint decided to fire me after making up three bogus infractions.
They were one step ahead…
This wasn’t a problem though, as my plan was already in action. See in this state, unpaid wages collect interest. So What was 20-40 dollars a night, 5 nights a week, over one year; quickly became a decent sum.
So I began collecting the names of current and previous employees whom had been screwed over by the company and collected their documented data then sent it off to the department of labor. At the end of the day it took a couple months, but the company was eventually required to pay a decent chunk of change to all parties and a pretty hefty fine on top.
Overall I believe it came out to a little under 100k. I wasn’t done though.
See those shady little documents they had us sign claiming we made over minimum wage effected how the company was reporting it’s payroll tax.
The IRS eventually came in and hit them for a ton of back taxes, and I received a small portion of the settlement (the irs used to pay people who tipped them off, don’t know if they still do).
Finally, I was increasingly aware of the companies under the table agreement with their health inspector. Which I decided to go ahead and tip off to the health department. This resulted in even more fines and a temporary closure for the joint.
It pays to know the laws…
All together it ended up costing this dumb little delivery joint a ton of money just to stay open, all cause they wanted 20 percent of their drivers tips. The moral here is this:
Know your labor laws, it’s degenerates like these whom profit off the ignorance or fear of a workforce.
The more you know about your rights, the less idiots like these will be able to survive in the wild. Thanks for coming to my Ted talk.”
And here’s what people had to say.
One reader was impressed by this revenge story.
Another individual shared a similar story.
This reader made a good point…
Another Reddit user was lovin’ it!
And this Reddit user said this was against the law.
It pays to know the laws…
In more ways than one!
If you liked that post, check out this one about an employee that got revenge on HR when they refused to reimburse his travel.
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