Jacques Mader, individually and on behalf of others similarly situated, has filed a lawsuit against CPG Catering, LLC (doing business as Gallagher’s Grill and Pat Gallagher’s 527 Restaurant & Bar) in the United States District Court for the Eastern District of Louisiana. The case, identified as No. 2:24-cv-00925, was filed on April 12, 2024. The lawsuit alleges that the defendant violated the Fair Labor Standards Act (FLSA) by underpaying its employees.
Mader claims that he and other servers and bartenders were paid less than $7.25 per hour while working at any of the defendant's restaurants in Louisiana over the past three years. He asserts that this practice is illegal under FLSA guidelines which stipulate a minimum wage requirement. The defendant allegedly attempted to supplement these low wages with tips earned by its employees—a practice known as taking a "tip credit."
The plaintiff further accuses the defendant of multiple violations related to tip credits. These include failure to correctly inform employees about its reliance on tip credits to meet minimum wage requirements, requiring employees to pay for certain non-203(m) items such as clothing and tools, and improper handling of the tip pool.
Mader seeks judgment for wage damages owed under FLSA regulations due to these alleged violations. He is also calling for collective action on behalf of all other similarly affected employees who worked at any of the defendant's restaurants in Louisiana during the last three years.