In response to a recent class action lawsuit alleging wage violations, a popular Bay Area restaurant, Gordo Taqueria, agreed to pay workers $690,000. The case is the latest in a string of similar labor cases that involve well known Bay Area restaurants. The new legal trend is due at least in part to the results of a years-long effort by the California Labor Commissioner’s Office to strengthen protections for workers and improve their ability to collect lost wages.
In January 2019, another Bay Area restaurant, Rangoon Ruby, agreed to pay a settlement to over 300 workers that totaled $4 million in wages plus penalties. In 2018, La Taqueria settled with workers in a similar case for $500,000. Additional recent cases based on similar allegations include cases against: Burma Superstar, Mango Garden, Kome Buffet, and Mission Beach Café.
Jose Martinez, former Gordo dishwasher, worked at the Gordo Taqueria on College Avenue in Berkeley from 2013 to 2015. He brought complaints to the attention of Legal Aid at Work in San Francisco and with their help, he filed a class action lawsuit in December 2016 against the restaurant chain. In the class action lawsuit representing 240 workers, Martinez alleged that workers for the Bay Area restaurant received tips only as a lump sum annually instead of daily or at the end of each pay period as required by California state employment law. He also claimed that workers were not receiving all the overtime pay they were due for hours worked beyond 8 in one day and/or 40 in one work week.
Gordo owners responded to the allegations through their attorney by saying that the restaurant has served the Bay Area since the 1970s, always provided great food and a been a great place of employment. They also stated that they quickly responded to the lawsuit in December of 2016 by engaging in negotiations with the plaintiff’s counsel and instituting early alternative dispute resolution measures to negotiate a deal that the restaurant believes is fair to all parties. They also denied all allegations listed in the complaint.
An Alameda Superior Court Judge approved the settlement agreement in December on a preliminary basis. The settlement agreement would resolve the class action suit. The claims included in the suit filed by Martinez are similar to others filed against many other area restaurants in recent cases: inadequate rest breaks, unpaid overtime, improper distribution of tips, minimum wage violations, and instances of retaliation against workers who speak up for their rights.
If you have concerns that you are not being provided fair overtime pay or if you are not being compensated as required by California state labor law, please get in touch with one of the experienced California employment law attorneys at Blumenthal Nordrehaug Bhowmik De Blouw LLP.