Board says there were ‘many anomalies’ in purported tip‑sharing system
The Ontario Labour Relations Board (OLRB) has ordered a Mississauga restaurant to pay more than $16,000 to two former servers after finding it failed to prove it had a lawful tip‑sharing policy, concluding that the employer improperly allocated a large portion of pooled tips to managers and its owner.
In a Jan. 26, 2026, decision, Korhan Teko v Sultan Ahmet Turkish Cuisine Inc., Vice‑Chair Brian Mulroney amended existing Employment Standards Officer (ESO) Orders to Pay to add $7,193 for former server Korhan Teko and $9,065.97 for Shamuhammet Jumageldiyev on account of tips and other gratuities.
Both men worked as wait staff at Sultan Ahmet Turkish Cuisine between September 2023 and late summer 2024, earning $17.50 per hour plus bonuses and tips. They applied under subsection 116(2) of the Employment Standards Act, 2000 (ESA) to review ESO decisions that had awarded overtime and public holiday pay but declined to order payment of tips.
The core of the dispute was the restaurant’s practice of promising servers a flat tip payment of about $1,500 to $1,700 per month if they worked 170 hours, pro‑rated for other hours, regardless of how much customers actually tipped.
Mulroney noted evidence that this approach broke the link between tips left by patrons and amounts paid out, writing that “the monthly tip distribution figures demonstrate that the restaurant was...
PHOENIX — A Phoenix-area cardiology office and three of its physicians have agreed to pay $4.75 million to settle allegations they performed medically unnecessary vein ablations and falsified recor...