Does Olive Garden’s Tipping Policy Case Racial Discrimination & Harassment?

A recent lawsuit alleges that Olive Garden’s parent company, Darden Restaurants, has a tipping policy in place that causes racial discrimination, and sexual harassment.

The Case: One Fair Wage, Inc., Plaintiff, vs. Darden Restaurants, Inc., Defendant

The Court: U.S. District Court Northern District of California Oakland Div.

The Case No.: 4:21-cv-2695

The Plaintiff: One Fair Wage, Inc. vs. Darden Restaurants, Inc.

One Fair Wage, Inc. is an advocacy group suing Olive Garden parent Darden Restaurants. The plaintiffs allege that Darden’s company wide tipping policy encourages sexual harassment and racial discrimination towards the waitstaff in their restaurants.

The Defendant: One Fair Wage, Inc. vs. Darden Restaurants, Inc.

The defendant in the case, Darden Restaurants, Inc., was of the restaurants that actively opposed getting rid of the tipped wage. Darden Restaurants is the parent company for the popular, and well-known Olive Garden restaurant chain. Tipped minimum wage refers to the fact that in 43 states, employers are legally allowed to pay workers as little as $2.13 per hour as long as the hourly wage plus their tips add up to the local minimum wage. If it doesn’t, the employer is required to make up the difference.

Background for the Case: One Fair Wage, Inc. vs. Darden Restaurants, Inc.

The One Fair Wage, Inc. vs. Darden Restaurants, Inc. lawsuit alleges Olive Garden parent company’s tipping policy is the cause of racial discrimination, and sexual harassment on the job.The complaint was filed in California federal court and is the latest push in the battle against tipped minimum wage. The rate of tipped minimum wage was last raised in the early 1990s, but there was a push by Democrats to get rid of the tipped minimum wage earlier in 2021 as a part of their overall effort to raise the federal minimum wage.

If you have questions about California labor law or if you need to file a wage and hour lawsuit, please get in touch with Blumenthal Nordrehaug Bhowmik DeBlouw LLP. Experienced employment law attorneys are ready to assist you in various law firm offices located in San Diego, San Francisco, Sacramento, Los Angeles, Riverside, and Chicago.