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New York Attorney General secures $440K settlement for unpaid restaurant workers

New York Attorney General secures $440K settlement for unpaid restaurant workers
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BUFFALO, N.Y. (WKBW) — The owners of nearly two dozen Denny's locations throughout Western New York will pay $440,000 in back wages to hundreds of employees following a state investigation.

New York Attorney General Letitia James announced the settlement in Buffalo against Arizona-based Reveille Management and Top Line Restaurants, which operate Denny's franchises in five states, including 23 locations throughout Western New York.

The investigation revealed that owners Glenn and Tina Beattie failed to pay more than 1,900 workers the required "spread of hours" compensation for extended shifts, as mandated through New York State labor law.

"The actions of these franchise owners undermine the trust that hard-working New Yorkers place in our institutions, but more importantly, it undermines the fundamental and foundational exchange that we all accept and believe in," James said. "That is a fair wage for a hard day's work."

WATCH: New York Attorney General secures $440K settlement for unpaid restaurant workers

New York Attorney General secures $440K settlement for unpaid restaurant workers

Former Denny's worker Steve Easton, who reported the issue, offered advice to workers.

"You're going to work for 50 years of your life, so you might as well learn ins and outs of labor laws because if you don't, your workplace will take advantage of you and you won't know," Easton said.

The settlement covers Denny's workers from 2019 to present and requires the owners to overhaul their policies and procedures.

To prevent future wage violations, James is requiring Reveille Management and Top Line Restaurants to:

  • Provide notices to all managers and employees explaining their wage and hour policies, including the right to spread of hours pay
  • Update their employee handbook to include spread of hours requirements
  • Revise employee earnings statements to specifically identify spread of hours payments
  • Train all new and existing employees on wage and hour policies under New York and federal law, including employee rights to spread of hours pay, breaks, paid sick leave, and paid family leave
  • Conduct annual anti-harassment and anti-discrimination trainings
  • Designate a point of contact to review complaints received by the Office of the Attorney General from current and former employees
  • Submit regular compliance reports to the Office of the Attorney General for three years

More information about the settlement is available at the New York Attorney General's website.