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Old 04-04-2012, 05:27 PM   #1
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Glowbal Restaurant Group owner and former server plan legal action over tips

I saw this article posted on the Georgia Straight today and it caught my attention. While I have never worked in the food and hospitality industry (McDonald's doesn't count) I was hoping some of you who do could possibly shed some light on industry practices for a better understanding. *Edit:* The article is vauge. It does not mention whether the tips are distributed evenly later on (i.e. pay day etc.) so I'm not sure what the problem is. It's safe for us to make assumptions.

Source: Glowbal Restaurant Group owner and former server plan legal action over tips | Vancouver, Canada | Straight.com

TD;DR Version: Former employee who worked @ Black + Blue is angry at the Glowbal Group over tips and owner of the Glowbal is now suing former employee and the CBC for false accusations (slander?)

Quote:
Originally Posted by Michelle da Silva, April 4, 2012
During CBC’s The National on April 2, reporter Kathy Tomlinson investigated how tips are distributed at Glowbal Group restaurants after a former employee filed a complaint with B.C.’s Employment Standards Branch claiming she was required to hand over tips to “the house” after shifts. Now, Glowbal Restaurant Group owner Emad Yacoub has fired back, stating that he will take legal action.

“I have been left with no option but to take legal action against the CBC and Ms. Tomlinson to redeem my reputation and that of my business," Yacoub stated in a news release April 3. "It is curious and unfortunate that Ms. Tomlinson and the CBC chose to air a story based on the false accusations of former employees. It is equally baffling as to why Ms. Tomlinson chose to focus on The Glowbal Group when the practice of pooling gratuities is an accepted standard in the hospitality sector in Canada."

The former Glowbal Group employee, Charlotte Zesati, who worked at Glowbal’s steakhouse Black + Blue (1032 Alberni Street) for a week and a half in November 2011, told the Straight during a phone interview on April 3 that she is in the process of obtaining a lawyer and is hoping to go after a class-action lawsuit.

“I can’t disclose who the lawyer is at this time, but we’re looking at hopefully trying to get more voices out from people who worked for this man because you know, I understand that people are scared,” Zesati, who is a single mother, said. “I wasn’t there long enough to get to know the waiters, but I do believe that there’s got to be someone there that will come out.”

Zesati, who moved from California to Vancouver prior to working at Black + Blue, considers herself a career server.

“I’ve been in this industry for a long time. I’ve been a GM. I’ve been a California realtor. I work really hard to make the money that I make, and it’s taken me a long time, where I can consistently sell a certain amount and maintain a very high tip out because I do care for people,” she said.

While Zesati is currently unemployed, she says that she has had job interviews at other Vancouver restaurants, but declined serving positions because the restaurants had similar tipping policies.

“There’s got to be a good honest guy out there somewhere,” she said. “If not, I’m actually considering going into law school at this point.”

Glowbal Restaurant Group owns seven restaurants in Vancouver, including Glowbal Grill & Satay Bar, Coast, Sanafir, Italian Kitchen, Trattoria, Society, and Black + Blue.
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Last edited by bcrdukes; 04-04-2012 at 05:37 PM.
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Old 04-04-2012, 05:48 PM   #2
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This article is probably more clear:
Servers made to pay 'house charge' from tips - British Columbia - CBC News

Bolding the parts that might be of use.

Spoiler!


The CRA just hit jackpot. Imagine all the undeclared incomes for the owners, businesses, and servers. And worst of all, the owner claims he has records to prove it

Last edited by jackmeister; 04-04-2012 at 05:53 PM.
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Old 04-04-2012, 06:05 PM   #3
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^
LOL! CRA was probably drooling over this article.
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Old 04-04-2012, 09:16 PM   #4
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i doubt they will do anything, chasing after 1 person for 1 million is nothing to them.

anyhoo, great read.
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Old 04-04-2012, 10:40 PM   #5
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My buddy's family is involved with the Glowbal Group (Emad's nephew) and several of us have worked at numerous of the restaurants ...

From what I know, I can safely presume that this case is either a misrepresentation or an outlier.
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Old 04-07-2012, 11:41 AM   #6
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^as someone who spent 7 years working in nightclub, there is a "house" tip at most establishments that involve tips.

It usually goes to the managers.

It's real scumbag IMO. Glad I don't work in that industry anymore.

Don't believe anything the owner is saying. I know the ins and outs. Glasses get ordered by the case and come in big brown boxes shipped from china.

The tip money outright lines there pockets tax free.

ps, when I did my time as a busser, we got tipped out 1% of sales SPLIT 3 WAYS. The manager would also recieve a 1 percent tip. So if bartenders sold 30k~ we would get 100 dollars each and the manager would get 300.

which is garbage.

Bartenders would walk out with anywhere from 300-1000 a night (depending on the night) and bussers would walk out with 60-100 a night. I don't see how it's fair. Fucked up industry.
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Old 04-07-2012, 12:28 PM   #7
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^ lol thats pretty shitty for bussers..

when i was bussing and porting at stone temple and Tonic i was walking out with a minimum of $150 a night plus my wage
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Old 04-07-2012, 02:35 PM   #8
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how could you take tips to cover expenses like broken glassware?
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Old 04-07-2012, 03:28 PM   #9
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shiiieet that messed up for sure! If we give the server straight up cash couldn't they just pocket it and not tell their manager? Either way I would think its a lose lose situation. Manager would ask where your tips at foo? then server would say didn't make any...I would assume the server would get fired for not making any "tips"...
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Old 04-07-2012, 05:03 PM   #10
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^ lol thats pretty shitty for bussers..

when i was bussing and porting at stone temple and Tonic i was walking out with a minimum of $150 a night plus my wage
eh, I made my dues. When i worked in the bathroom, I was making the most money in the club.

When I decided to get out, I was promised that I would "move up fast", created a lot of drama, the hours were brutal and just wasn't making enough anymore. My sleep was all fucked up and I gained weight from eatting so late at night.
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Old 04-07-2012, 05:04 PM   #11
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how could you take tips to cover expenses like broken glassware?
excactly. Nightclub logic. Thats why I'm glad I don't work for one anymore.
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Old 04-13-2012, 07:54 AM   #12
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Glowbal runs an amazing chain of high end restaurants. The servers all make fantastic money because of Emad and Shannon's hard work. Each individual has the right to work where they want. This is just some individual that has too much bark !!!
On the other hand though, if the tax implications are true, then there is some issues that might have huge repercussions.
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Old 04-13-2012, 12:19 PM   #13
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nice try Emad..
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Old 04-13-2012, 01:48 PM   #14
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excactly. Nightclub logic. Thats why I'm glad I don't work for one anymore.

I don't know which nightclub you worked at but I got to know a bartender so well that he would pour me rows and rows of shots and he would always charge me a flat rate and/or I would just "tip" him $100 for it which is a lot cheaper than paying the establishment...

Ever do that?
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Old 04-15-2012, 09:56 PM   #15
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Glowbal runs an amazing chain of high end restaurants. The servers all make fantastic money because of Emad and Shannon's hard work. Each individual has the right to work where they want. This is just some individual that has too much bark !!!
On the other hand though, if the tax implications are true, then there is some issues that might have huge repercussions.
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