SJ workers claim restaurant owes them wages, tips

SAN JOSE, Calif. (KGO) -- A new restaurant in San Jose is facing a public relations nightmare. Some of its former employees are protesting outside, claiming management owes them thousands of dollars in pay and tips. The owners, however, say it's not true.

This case, like others similar to it, could go before the state labor commission. But even if the employees prevail, it's difficult for them to collect the money they're due. That's because there's no way to enforce the judgment.

M Eat Play Lounge is San Jose's newest downtown restaurant. At its grand opening three weeks ago, councilmembers Ash Kalra and Rose Herrera were there to celebrate.

Eleven employees who quit are now standing outside with signs, claiming they're owed thousands of dollars in wages and tips. Server and bartender Shayna Bejarano says she's owed $1,700.

"Never paid in full and never issued any of my credit card tips, nor my cash tips were taken from me," she said.

Owner Ashwini Kumar disputes that.

"I really want to see where that $1,700, like how she's claiming because that's not true," he said. When asked if she was making that up he said, "Yes."

Former cook Daniel Spring says he's owed $1,800.

However, attorney Ruth Silver Taube says complaints are growing among restaurant workers. As living wages and higher minimum wages are passed, she says employees are getting cheated. She runs a weekly clinic at Santa Clara University's Law Center to help workers like these. Yet, when they win a case, the employees don't get the money.

"We were awarded around $750,000 and could collect only around $250,000 because it's an epidemic of noncompliance," she said. "It's a business model to not pay workers."

Huy Tran, Justice at Work Law Group added, "Wage theft is something that doesn't affect just the workers. It affects everybody because there are restaurants that try to comply, but they have to deal with restaurants or other businesses that don't follow the wage laws, so they get to charge lower prices."

Kumar operates two other South Bay restaurants and he acknowledged paying to settle wage disputes in the past.

San Jose banker Will Gemo joined the protest during the lunch hour on Monday to support the workers.

"Hopefully they'll shed some light to them and maybe they'll give the employees their money," he said. "At least hopefully it'll affect their sales so that they'll have to change."

Bejarano says it's expensive to raise two daughters, so she needs the money.