$1.55 Million Settlement. Upscale Steakhouses. Improper Tip Pool.

Jeff Ruby Restaurant Group, owner of Jeff Ruby's Steakhouse, The Precinct, and Carlo & Johnny, hit with class action over improper tip-pooling practices affecting 700+ employees.

How It Happened

Jeff Ruby Restaurant Group implemented tip-pooling practices with gaps under FLSA regulations. Under federal law, tip pools must be structured carefully. Managers and supervisors cannot participate, and tips must go to front-of-house workers who customarily receive them.