MEMPHIS, Tenn. (WMC) - Two former employees have filed a lawsuit against Earnestine & Hazel’s, a popular “haunted” Downtown dive bar, among others under the same ownership, alleging they are owed unpaid wages and unpaid overtime by the joint businesses.
In March, a collective suit was filed against four entities on behalf of the two plaintiffs and others similarly situated working in the restaurants within the past three years:
The suit claims that all four defendants would treat all four restaurants as one entity and co-mingle staff and management as a joint business.
One plaintiff worked as a server at The Paramount and The Backlot Sandwich Shop, and the other worked as a bartender/server at Earnestine & Hazel’s, The Vault, and The Backlot Sandwich Shop.
Each of these businesses had a centralized common plan, policy, and practice of compensating their employees under a tip-credit compensation plan, which involves compensating tipped employees at a sub-minimum wage hourly rate of pay and then crediting tips received by them during their shifts to meet Fair Labor Standards Act (FSLA) minimum wage requirements.
The suit claims that these companies did not...
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