Public record · Not a Marty customer result · Customer case studies
$1.35 Million Ordered.
Tips Used to Pay Bussers' Wages.
Empire Diner in Pennsylvania was ordered to pay $1.35 million after using servers' tips to cover bussers' wages, with gaps in minimum wage, overtime, and record-keeping compliance.
Book a Free Working Session →How It Happened
Tips Diverted to Pay Wages
Empire Diner used servers' tips to cover bussers' wages instead of paying bussers from the restaurant's own funds. Under FLSA, tips belong to the employees who earn them. They cannot be used to subsidize other workers' base wages.
Minimum Wage & Overtime Gaps
In addition to the tip gaps, Empire Diner failed to pay proper minimum wages and overtime to its 107 employees. The compounding gaps significantly increased the total liability.
Record-Keeping Gaps
The restaurant also violated FLSA record-keeping requirements, making it difficult to accurately track hours worked and wages owed. This is a common issue that compounds liability in DOL investigations.
Department of Labor Steps In
The U.S. Department of Labor's Wage and Hour Division investigated the diner's practices and uncovered the systematic gaps affecting 107 workers.
$1.35 Million Judgment
The court ordered Empire Diner to pay $1.35 million to affected staff, covering back wages, damages, and penalties for the minimum wage, overtime, and record-keeping gaps.
Without Marty
- Tips used to subsidize other employees' wages
- Minimum wage and overtime gaps compound
- Poor record-keeping makes defense impossible
- DOL investigation identifies everything
- $1.35M court order devastates business
With Marty
- Tip distribution monitoring catches diversions
- Real-time minimum wage compliance checks
- Automated record-keeping for DOL compliance
- Fix issues before they become DOL cases
- Documentation proves good-faith compliance
See What's Collectible in Your Tip Data
Our analysis finds the collectible cash sitting in your tip and payroll data.
Book a Free Working Session →If we don't find $250K+ in collectible cash, you don't pay.
Sources: DOL enforcement records, court filings.