Labor and Policy: Page 2


  • Texas judge vacates joint employer rule

    The rule, which was set to go into effect Monday, would have lowered the bar for joint employer status. 

    By Emilie Shumway • Updated March 11, 2024
  • The streets are empty in Washington, DC.
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    Elan Irving via Getty Images
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    DC bill mandates study of delivery worker conditions, pay

    As part of the restaurant rules package that passed in the District this week, the city council requires aggregators and restaurants to agree that delivery workers are allowed to use restaurant bathrooms.

    By March 8, 2024
  • Explore the Trendline
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    Drew Angerer via Getty Images
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    Trendline

    Workforce Challenges

    The recovering restaurant labor market is still unstable, marked by growing worker demand and a small talent pool, pressuring businesses to adapt their staffing strategies. 

    By Restaurant Dive staff
  • Subway restaurant connected to a Pilot convenience store in Pennsylvania
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    Thai Phi Le/Restaurant Dive
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    Subway franchisees pay $218K for allegedly pocketing employees’ tips

    A DOL investigation found managers and owners illegally participated in employee tip pools and manually adjusted hours to avoid paying overtime.

    By Ginger Christ • March 8, 2024
  • The Tidal Basin in Washington, D.C. with the monument in the background on a cloudy day.
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    Sara Samora/Restaurant Dive
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    DC passes bill that protects restaurants with service fees from litigation

    Service fees of 20% or less will be approved, so long as fees are clearly disclosed to diners. The move follows forecasts that such restaurant fees will proliferate in the District, which recently eliminated the tip credit. 

    By March 7, 2024
  • An image of a Taco Bell restaurant.
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    Ethan Miller via Getty Images
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    Taco Bell franchisee sued after manager sexually harassed teen employees

    Charter Foods faces two lawsuits from women who were harassed by a convicted sex offender working as their shift supervisor in West Virginia. 

    By March 7, 2024
  • People hold signs while protesting in front of Starbucks on April 14, 2022 in New York City.
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    Michael M. Santiago via Getty Images
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    Starbucks’ deal with union ends battle over board nominees

    A week after Starbucks and Workers United agreed on "a path forward" to end litigation and support collective bargaining, the Strategic Organizing Center is nixing its proxy fight with the chain. 

    By March 5, 2024
  • A person in a coat rides a bicycle holding a red DoorDash bag.
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    Michael M. Santiago/Getty Images via Getty Images
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    DoorDash shifts pay scheme, cuts flexibility in New York City

    DoorDash says its fees in The Big Apple have driven down delivery sales, but the city says data from delivery firms shows steady sales.

    By Updated March 5, 2024
  • Colin Cochran tells reporters why he thinks Starbucks Workers United will win in Cheektowaga
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    Aneurin E Canham-Clyne/Restaurant Dive
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    Starbucks unionization efforts

    Starbucks, union take first steps toward detente

    The entities have agreed on a "path forward" to resolve litigation between the coffee chain and labor group and, eventually, reach a contract.

    By Feb. 27, 2024
  • Person in blue t-shirt leaning over countertop with coffee making equipment and holding a cellphone.
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    iStock/Jacob Wackerhausen

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    Sponsored by Instant Financial

    The cost of cash for restaurants

    Reduce your cash tips costs by moving to an electronic employee tips solution, with no fees.

    Feb. 26, 2024
  • Jose Andres gesticulating outside Zaytinya.
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    Chip Somodevilla via Getty Images
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    How José Andrés restaurant workers won voluntary union recognition

    Staff at The Bazaar by José Andrés in Washington, D.C., secured majority support for Unite Here Local 25 in a bid for better wages and benefits.

    By Feb. 23, 2024
  • A Grubhub courier. Grubhub and Sonesta will offer delivery to 120 extended stay hotels.
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    The image by Elvert Barnes is licensed under CC BY-SA 2.0
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    Los Angeles County sues Grubhub over ‘bait and switch’ fees

    The county calls for an injunction against alleged deceptive business practices and for Grubhub to pay fines for possible violations of California’s unfair competition and false advertising laws. 

    By Feb. 23, 2024
  • A closed Burgerim in Ashburn, Virginia
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    Julie Littman/Restaurant Dive
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    Judge bars Burgerim and its founder from selling franchises

    Burgerim could owe the FTC up to $56 million in civil penalties and money earmarked for consumer redress. Oren Loni, CEO and founder of the disgraced restaurant chain, settled separately in November. 

    By Feb. 23, 2024
  • Starbucks Workers United members picket outside a Starbucks in Watertown, Ma., on August 1, 2022.
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    Permission granted by Kylah Clay, Starbucks Workers United
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    Starbucks unionization efforts

    Starbucks union’s student allies stage national day of action against chain

    Demonstrations are slated at 25 major public and private universities Thursday in a bid to push administrators to break ties with the company, or declare solidarity with Starbucks Workers United.

    By Updated Feb. 22, 2024
  • A sign is posted in front of a McDonald's restaurant on April 28, 2022 in San Leandro, California.
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    Justin Sullivan / Staff via Getty Images
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    McDonald’s employee had to pump breast milk in stockroom corner, lawsuit alleges

    The complaint is the latest against large-scale employers who allegedly violate the PUMP Act by failing to provide nursing employees reasonable time to express milk in a private, sanitary place.

    By Laurel Kalser • Feb. 20, 2024
  • Starbucks Workers United member
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    Permission granted by Starbucks Workers United
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    Starbucks unionization efforts

    Starbucks union organizes record 21 stores in 1 day

    The organizing blitz is likely intended to pressure the coffee chain, which says it wants to reach contracts at all organized stores this year, during negotiations. 

    By Feb. 20, 2024
  • Two chefs smiling and cooking in a restaurant kitchen.
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    RgStudio via Getty Images
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    Sponsored by Paylocity

    How to overcome 5 restaurant industry challenges

    Discover tips and tricks to help you tackle some of the top HR pain points for restaurants and hospitality businesses.

    Feb. 20, 2024
  • Toast for Hotel Restaurants
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    Permission granted by Toast
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    Toast to cut 550 employees

    The company’s CEO acknowledged during an earnings call that “we grew our team too quickly in some areas,” while reporting a presence in 106,000 locations as of the end of 2023.

    By Lynne Marek • Feb. 16, 2024
  • A remodeled McDonald's.
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    garett_mosher via Getty Images
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    McDonald’s franchisee settles rape case for $4.35M

    McDonald’s franchisee Rice Enterprises will sell its restaurants to fund a $4.35M settlement with a minor who was sexually assaulted by a manger.

    By Feb. 6, 2024
  • restaurant worker PPE
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    dapiki moto. (2020). "New Normal" [Photograph]. Retrieved from Unsplash.
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    Restaurant operators see gig work as labor solution, NRA says

    Finding staff is still a significant challenge for many operators, with 45% of surveyed restaurateurs reporting inadequate staffing to meet demand.

    By Feb. 6, 2024
  • Individuals posing at a press conference hosted by the Maintenance Cooperation Trust Fund in San Diego on Jan. 23, 2024, celebrating a $1 million settlement against Cheesecake Factory.
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    Permission granted by Maintenance Cooperation Trust Fund
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    Cheesecake Factory, contractors agree to $1M settlement for underpaying 589 janitorial workers

    The resolution includes $750,000 from the restaurant chain and $250,000 from the janitorial contractors accused of wage theft, the California Labor Commissioner’s Office says.

    By Nish Amarnath • Feb. 1, 2024
  • Portillo's team member holds a loud speaker announcing an order is ready
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    Courtesy of Portillo's
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    How Portillo’s develops its managers to sustain $10M unit volumes

    CEO Michael Osanloo said the chain’s labor model and high unit volumes enable a “virtuous cycle” where sales drive wages and benefits, which in turn drive retention and efficiency.

    By Feb. 1, 2024
  • A red stop-work order is taped to a Boston Market door.
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    Kate Tornone/Restaurant Dive
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    US Foods wins $11.9M suit against Boston Market by default

    A federal judge found Boston Market engaged in bad faith and intentionally avoided engaging with process servers in a lawsuit over unpaid bills.

    By Feb. 1, 2024
  • Chipotle workers prepare food
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    Courtesy of Chipotle
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    Chipotle targets Gen Z workers with latest benefits

    The chain, whose workforce is 73% Gen Z, hopes to appeal to the demographic’s economic insecurity and hire 19,000 workers by spring. 

    By Jan. 24, 2024
  • QDOBA Burrito
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    Courtesy of QDOBA
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    Qdoba settles claim it failed to provide pay ranges in job ads

    The quick-service restaurant ran afoul of Washington state law, the proposed class action alleged.

    By Kate Tornone • Jan. 23, 2024
  • Two flags flown by fast food workers demonstrating in support of AB 257.
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    Mario Tama via Getty Images
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    California’s $20 fast food wage poses risk and reward, execs say at ICR

    Operational changes, value offerings and pricing are key tools in preserving traditional margins as wages rise, leadership from major chains shared. 

    By Jan. 23, 2024