ALLENTOWN, Penn. — A strip club in Allentown, Penn. recently accepted a proposed settlement for an unpaid overtime lawsuit with 30 exotic dancers who claimed their employer did not pay them tip wages or overtime for hours worked over the federal threshold for time and a half payments.
The $283,000 settlement means the South Carolina parent company for Platinum Plus admits no wrongdoing or liability in the suit. Of that almost $300,000 figure, $177,500 will go towards back wages owed to the 30 plaintiffs.
The lead plaintiff will take an additional $15,000 for filing the suit and the attorneys representing the class of plaintiffs are expected to take home around $90,000 for their work in securing the unpaid overtime wages. The proposed settlement is still subject to approval from the federal judge overseeing the case.
In addition to the employer failing to pay tip-based wages, the plaintiffs claim several forms of deductions were taken from their wages. Among them were fees for the DJ, security, and so-called “house fees” for the strip club. Furthermore, the dancers were often fined for “violations of house rules” which were illegal under state laws.
Employer Violated State and Federal Overtime Pay Laws
The club attempted to skirt the Fair Labor Standards Act and many Pennsylvania wage laws by classifying the exotic dancers as independent contractors instead of employees.
Similar suits filed in Philadelphia and New York previously ruled the employment relationship between exotic dancers and their employers meant the performers could not be classified as independent contractors since they did not exercise control over their daily activities.
Platinum Plus asserted various types of control over its dancers including what they could charge for private dances, what they could wear, how the employees could interact with patrons, and were able to fire the performers at-will.
Because the dancers did not enjoy the same level of autonomy independent contractors expect under the FLSA, the plaintiffs believed they should enjoy the same wage expectations as traditional hourly employees.
State and Federal Overtime Pay Lawsuits
Call (855) 754-2795 or complete the Free Unpaid Overtime Case Review form on the top right of this page if you feel that you and and other employees believe that your wage rights are being violated under the FLSA. Our top-rated team of unpaid wage lawyers will evaluate your situation to determine your best course of action to help you seek justice.
Our office will also determine if it is in your best interest to file a lawsuit against your employer. Because strict time limitations apply for filing these types of claims, we advise you contact our experienced unpaid overtime wage attorneys at your earliest convenience and preserve your legal rights.