Judge Orders Starbucks to Pay Over $100 Million Due To Tips Shared By Shift Supervisors (CORRECTED)
Coffee house giant Starbucks was ordered by a San Diego Superior Court judge to pay more than $100 million to for back tips. The amount is derived from the judge ruling these employees were entitled to $86 million plus interest. A further ruling stated that shift supervisors will not be allowed to take from future tips earned by employees.
(Media-Newswire.com) - Coffee house giant Starbucks was ordered by a San Diego Superior Court judge to pay more than $100 million to for back tips. The amount is derived from the judge ruling these employees were entitled to $86 million plus interest. A further ruling stated that shift supervisors will not be allowed to take from future tips earned by employees.
The lawsuit was filed in 2004 by a former employee named Jou Chou. The employee claimed Starbucks should not allow shift supervisors to share in the tips earned by employees and that Starbucks should increase pay to shift supervisors rather than allow them to share in tips.
A Starbucks spokeperson reported that the company planned to file an immediate appeal and noted the brief nature of the judge's ruling which was contained within only four paragraphs. Starbucks reportedly claimed the shift supervisors were not adequately represented in the ruling.
( NEWS CORRECTED: March 21, 2008 8:58 AM )
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