Starbucks Sued in New York Over Tip Issue

This April 4, 2008 article from the New York Times discusses the unusual situation of wage theft violations occurring at America's favorite coffee house, Starbucks. The company operates over 7,000 stores nationwide, and its policy has long been to allow shift supervisors to take a share of the tip pool. Shift supervisors occupy a unique "neither/nor" zone at Starbucks - they functionally do much the same work as baristas and receive comparable pay, yet they also act in a managerial capacity.

In the wake of an eight-figure judgment against Starbucks chains in California, Joseph, Herzfeld, Hester & Kirschenbaum LLP attorney Maimon Kirschenbaum has spearheaded a drive to sue New York affiliated Starbucks for wage violations related to this tip sharing issue. While Howard Schultz, Starbucks' Chairman, has defended his company's labor practices, the National Labor Relations Board and other employment discrimination authorities have alleged that the coffee giant has pursued less than equitable labor policies. For instance, some NY workers who attempted to unionize baristas were fired for doing so - illegally. Kirschenbaum argues that the status of shift supervisors - as essentially glorified baristas - doesn't change the fact that wage violations have occurred and should be remedied. He concludes that baristas should not have to "bear the brunt of" inequalities created by Starbucks' oddball tip-sharing system.