Labor and Policy

  • A round red sign hanging off of a glass building that says Chipotle
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    Michael M. Santiago / Staff via Getty Images
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    Chipotle agrees to nearly $3M settlement over alleged paid leave and scheduling violations in Seattle

    The settlement is the largest since the Secure Scheduling Ordinance went into effect in July 2017, the Seattle Office of Labor Standards said.

    By Ginger Christ • April 18, 2024
  • An image of a red and white building with Freddy's signage.
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    Permission granted by Freddy's
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    Freddy’s Frozen Custard & Steakburgers franchisee must pay $119K for child labor violations

    The operator of seven Alabama Freddy’s locations employed 149 children under 16 years old to work longer hours than permitted by law. 

    By • April 18, 2024
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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
  • Bojangles restaurant
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    Courtesy of Bojangles
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    Bojangles to enter Los Angeles market in 2025

    California’s recent wage hike hasn’t stopped the chicken chain from committing to open 30 units in the Golden State, continuing its national expansion.

    By • April 16, 2024
  • A car sits at a drive-thru at a McDonald's restaurant on a sunny day with a blue sky.
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    Justin Sullivan via Getty Images
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    McDonald’s brought back bagels. Are CA wages the cause?

    Leadership said the Golden State’s $20 wage law could help the chain take share from competitors. The bagel sandwich’s return may be part of that effort.

    By , • April 12, 2024
  • U.S. Sen. Joe Manchin, D-W.V., listens during a hearing before Transportation, Housing and Urban Development, and Related Agencies Subcommittee of Senate Appropriations Committee.
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    Alex Wong via Getty Images
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    Senate kills joint employer rule, setting up veto battle

    With a presidential veto likely and federal courts considering the rule, the fate of the National Labor Relations Board’s joint employer standard is tenuous. 

    By • April 11, 2024
  • An image of a brick building with red Chick-fil-A signage
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    Brandon Bell via Getty Images
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    Transgender Chick-fil-A worker’s sexual harassment case may go to trial

    The franchise owner unsuccessfully argued the worker couldn’t be subjected to sexual harassment by her co-workers because she is heterosexual.

    By Ginger Christ • April 4, 2024
  • The Florida state capitol building, a white building with Roman columns.
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    DenisTangneyJr via Getty Images
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    DeSantis signs Florida delivery bill pre-empting local delivery regulations

    The law, backed by Uber and DoorDash, requires delivery firms to delist restaurants that request to be removed and will prevent local governments from passing regulations impacting third-party delivery.

    By • April 3, 2024
  • Workers demonstrate outside a Los Angeles McDonald's as part of Fight for $15's November 2016 day of action.
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    David McNew via Getty Images
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    SEIU, allies say $20 fast food wage should have minimal impact on employment

    Organized labor, workers and economists supporting the $20 wage say major brands can absorb increased costs without resorting to price shocks, and that the wage’s impacts are likely exaggerated.

    By • Updated April 2, 2024
  • Dave's Hot Chicken food spread out on a table.
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    Courtesy of Dave's Hot Chicken
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    Dave’s Hot Chicken tests kiosks, bigger drinks in face of $20 CA wage

    The fast-growing chain is raising prices 9% and testing tech that it says boosts check but doesn’t cut labor costs.

    By • April 1, 2024
  • Corner Bakery storefront
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    Thai Phi Le/Restaurant Dive
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    How Corner Bakery grew AUV by $200K in 6 months

    Under SSCP Capital’s ownership, the cafe chain seems to be turning a corner using new training, customer feedback tools and dayparts.

    By • March 25, 2024
  • A picture of Subway's Deli Heroes
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    Courtesy of Subway
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    Subway faces $50M suit for sexual abuse at franchisee

    The suit claims Subway’s restaurant inspections and other forms of control over operations make it a joint employer with franchisee GRB Investments.

    By • March 21, 2024
  • Graphic image of drive-thru system
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    Permission granted by Presto Automation Inc.
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    Presto lays off 18% of staff 4 months after most recent cuts

    Following a pivot away from its tablet business to drive-thru artificial intelligence, the company eliminated 24 corporate roles.

    By • March 19, 2024
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    Brandon Bell via Getty Images
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    Minimum-wage delivery drivers must be 100% reimbursed for using their own vehicles, 6th Cir. says

    The court didn’t say how employers should calculate these reimbursements, but it warned that underpayment may cut into a driver’s minimum wage and violate the FLSA.

    By Laurel Kalser • March 18, 2024
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    iStock.com/AaronAmat

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    Sponsored by Instant Financial

    Empowering employees: The transformative impact of pay optionality

    Employee pay flexibility: paying your staff how they want, when they want and where they want.

    March 18, 2024
  • Pictured is the exterior of the National Labor Relations Board building.
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    "1099 14th Street – National Labor Relations Board" by Geraldshields11 is licensed under CC BY-SA 3.0
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    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
  • 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