9 Investigates illegal wage practices in the hospitality industry

ORLANDO, Fla. — The service industry is a big business in Florida. Statewide, it brings in $40 billion a year.

Channel 9’s Jeff Deal looked at an issue for some who have worked in restaurants and bars and are saying illegal wage practices give the industry a black eye.

“I started as a busser, to a general manager of a restaurant,” said restaurant employee Andrew Crichton.

Crichton said he enjoyed his 12 years in the restaurant industry and can attest illegal wage practices for tipped employees like servers and bartenders are rampant.

“From the corporate to the mom and pops, big place, small place, they’re all doing it” Crichton said.

Attorney Michael Grossman represents workers in bringing legal action against restaurants.

“Before I was an attorney, I was a server and bartender for a long time,” Grossman said.

In his experience, he said, the most common violation is off the clock work. That is where businesses make employees show up for mandatory meetings, attend “cleaning parties,” or even work special events for tips only.

“I was told to come in and work a party, not clock in and that was probably four or five hours off the clock,” Crichton said.

Another big issue is hourly wage.

Right now in Florida, minimum wage is $8.05 an hour, but tipped employees can be paid below minimum wage at $5.03 an hour.

Grossman said employees will often be forced to do excessive side work more than 20 percent of the time. The work will usually involve things like washing dishes or rolling silverware while still getting $5.03 an hour.

"If you're spending 30, 40, 50, 80 percent of your shift that isn't generating tips, then legally your employer can't pay you that server wage,” Grossman said.

The Florida Restaurant and Lodging Association said it encourages employers to maintain, "the highest of ethical and legal standards.”

But Grossman believes it's part of the culture, and employees either don't know or they're afraid to speak up for fear of losing their jobs.

"It's only when employees, hospitality workers unite, work together and come forward as a group that you can really start to change the industry,” Grossman said.

The Florida Restaurant and Lodging Association pointed out the Florida minimum tipped wage is higher than the national minimum tipped wage. But some states, including like California and Nevada, don't have a lower tipped wage. They require businesses to pay servers the full minimum wage, plus whatever tips they receive.

Click here to see tipped wage information in all 50 states.

Contact Jeff Deal for more information on this story.

Cox Media Group