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Salon Workers’ Unpaid Overtime and Tip Class Action Settles for $75,000


Among the issues of overtime, this blog frequently discusses the problem of employers illegally withholding pay from their employees. Recently, more than 100 employees of a salon settled a lawsuit with their employer, Natalie Salon
The salon, owned by Natalie Phan and her husband, Bill Dong, allegedly refused to provide overtime compensation or meal breaks. According to California labor law, employers are required to provide at least a 30-minute uninterrupted meal break for every five hours worked and at least a 10-minute break for every four hours worked. If, for whatever reason, an employer does not receive these breaks in full, the employer is required to compensate the employee for one hour’s worth of their normal hourly wage for every day that a break is missed. If an employee ends up working more than eight hours in a single day or more than 40 hours in a week, the employer is required to provide one and one-half times the employee’s normal hourly rate for each hour of overtime they work.

In addition to allegedly failing to provide overtime compensation and meal breaks, the owners of the salon also allegedly withheld parts of the employees’ tips and deducted from employee wages for minor infractions, such as dropping nail polish.

The lawsuit has settled for $75,000. The next step is for the 125 employees to review the settlement and determine if they want to remain part of the class or to opt out and sue separately. At the next court date, set for June, eligibility and distribution will be decided.

The attorneys at the Chicago Overtime Law Center are investigating unpaid overtime claims against service companies, such as hair salons, spas, and restaurants for forcing employees to work off the clock at business, failing to share all tips, erasing or altering time sheets or time records, pressuring workers not to report or record overtime, and otherwise failing to pay workers for overtime and other wages. If you are the victim this practice call us at (312) 869-4095 or contact us online.

The lawyers at the Chicago Overtime Law Center have three decades of experience fighting to help employees who are victims of wage, overtime and tip theft by their employers. We have a team of Chicago unpaid overtime lawyers who concentrate on prosecuting state and nationwide class action lawsuits. Our attorneys work out of Chicago and Oak Brook offices and pursue claims for workers all over the Chicago area including Schaumburg and Joliet. We protect unpaid workers who haven’t received overtime throughout the Chicago area including in DuPage, Lake, McHenry, Kane and Cook Counties.

Our Aurora and Warrenville overtime lawyers are intimately familiar with the issues that arise during wage claim litigation, and we know the laws that govern overtime cases well. Many employers misclassify employees as being exempt from overtime laws and pay workers salaries instead of hourly wages in order to avoid paying them overtime. Some employers mistakenly classify employees as exempt and others intentionally do so in order to circumvent the law. In either case, workers do not receive the wages they should, and a lawsuit may be the only way to recover their earned wages.

The Chicago Overtime Law Center is based in Chicago, and represents clients throughout the country who have not been paid for the overtime hours that they worked. If you believe that you are owed overtime wages, contact one of our Chicago class action attorneys by phone at (312) 869-4095 or through our online form.