Consumer and Worker Protection311Search all NYC.gov websites
Mayor Adams, DCWP Commissioner Mayuga Announce More Than $2.5 Million in Worker Relief From Seven Major Companies
May 13, 2024
3,000 Workers Will Receive Restitution for Violations of New York City’s Workplace Laws
NEW YORK, NY – New York City Mayor Eric Adams and Department of Consumer and Worker Protection (DCWP) Commissioner Vilda Vera Mayuga today announced more than $2.5 million in restitution secured for workers from seven major fast food and retail businesses to resolve violations of New York City’s workplace laws. Starbucks, Cava, a health care staffing agency, the operator of Jimmy Jazz and Hyperactive, a Burger King franchisee, two Wingstop franchisees, and an Auntie Anne’s franchisee will pay more than a combined $2.5 million in relief to 3,000 workers, and more than $230,000 in civil penalties and costs. All companies must comply with the law going forward.
“In New York City, if you violate workers’ rights, you will pay the price,” said Mayor Adams. “We’re proud to announce millions of dollars we are putting back into the pockets of thousands of working-class people across our city because, without a strong working class, this city cannot survive. Each day, we are delivering for working people across the five boroughs – no matter how powerful their employers might be.”
“As we reflect on 10 years of protecting workers’ rights, it’s important to recognize that all workers in our city deserve fair treatment in the workplace and the ability to exercise their rights under the law,” said DCWP Commissioner Vilda Vera Mayuga. “This administration is committed to protecting working people, and we won’t hesitate to hold businesses accountable for flouting the law.”
Starbucks will pay two former employees who were wrongfully terminated in violation of the “just cause” protections of the City’s Fair Workweek Law, a combined $7,500 in employee relief and back pay. After receiving complaints from the workers alleging wrongful termination, DCWP quickly launched an investigation and found that Starbucks fired the employees unlawfully. Starbucks will also reinstate one of the former employees and pay a $500 civil penalty and comply with the Fair Workweek Law going forward.
Cava will pay more than $1.3 million in restitution to more than 1,200 workers and nearly $150,000 in civil penalties and costs. DCWP’s investigation found Cava noncompliant with all aspects of the Fair Workweek Law at nine New York City locations.
Regional Care Network, a health care staffing agency, will pay more than $363,000 to 1,200 workers and $36,000 in civil penalties and costs. DCWP’s investigation found that Regional Care violated the city’s Paid Safe and Sick Leave Law by not offering workers paid safe and sick time or giving them time off when they needed it.
Jako Enterprises LLC, which acquired Hyperactive and Jimmy Jazz locations around the city, will pay $234,000 in restitution to nearly 190 workers and nearly $20,000 in civil penalties and costs. DCWP’s investigation found that the company that previously owned three Hyperactive and Jimmy Jazz locations in Brooklyn violated the Fair Workweek law by failing to:
- Obtain workers’ consent before adding hours to their schedule, and
- Give workers work schedules 72 hours in advance.
Burger King franchisee, Creative Food Corp., will pay $234,000 in restitution to more than 90 workers and nearly $26,000 in civil penalties and costs. DCWP’s investigation found the franchisee noncompliant with all aspects of the Fair Workweek Law at its 222-10 Northern Boulevard location in Queens.
Wingstop franchisees, Bronx Wings One LLC and Bronx Wings Two LLC, will pay $209,000 to more than 170 workers and over $20,000 in civil penalties and costs. DCWP’s investigation found that the franchisees’ two locations violated the Fair Workweek and Paid Safe and Sick Leave laws by failing to:
- Give employees good faith estimates of their work schedules,
- Obtain employees’ consent when adding hours to their schedule,
- Pay premiums for schedule changes,
- Give workers work schedules 14 days in advance of the start of the schedule, and
- Provide workers with paid safe and sick leave.
Auntie Anne’s franchisee, Fresh Dining Concepts LLC, will pay more than $132,000 in restitution to 108 workers and nearly $15,000 in civil penalties and costs. DCWP’s investigation found the franchisee noncompliant with all aspects of the Fair Workweek Law at its three Staten Island Mall locations.
“Enforcing workers’ rights in our city is critical to protecting employees from workplace abuses,” said Council Speaker Adrienne Adams. “By securing more than $2.5 million in restitution for workers whose rights were violated, the City is holding employers accountable for their unlawful actions and sending a clear message that these violations are unacceptable. I thank the Department of Consumer and Worker Protection for their work to investigate potential workplace violations and deliver the relief that workers and their families deserve.”
“New York City law is clear that workers have rights, and there are consequences for violating those rights,” said Council Member Julie Menin, Chair of the Committee on Consumer & Worker Protection. “I thank Commissioner Mayuga and the Department of Consumer and Worker Protection for enforcing the law against these companies and protecting employees. As the former Commissioner of the agency, I saw firsthand how critical enacting our historic Paid Safe and Sick Leave Law was for workers which created a healthier and more productive workforce.”
“As Chair of the Civil Service and Labor Committee and a sponsor of fair workweek legislation, it is encouraging for legislators and empowering for workers to see the law applied in their favor,” said Council Member Carmen De La Rosa. “Following up on employer violations sends a message to unscrupulous employers that non-compliance will not be tolerated, and it provides relief for workers who have been exploited for far too long.”
“As a union that fought for and won several key policies that protect workers in New York City, like the Paid Sick Leave and the Fair Workweek laws, we are thrilled that the New York City Department of Consumer and Worker Protection is holding companies accountable under these laws,” said Stuart Appelbaum, president of the Retail, Wholesale and Department Store Union, RWDSU. “Without enforcement, these protections exist in name only. The tireless efforts of DCWP are resulting in $2.5 million back in the pockets of hardworking New Yorkers. Because of DCWP, unscrupulous companies should think twice before committing violations against their employees.”
“Representing over 200,000 healthcare workers in New York City and 450,000 across the East Coast, we understand how important paid leave is for caregivers and their families,” said Helen Schaub, interim political director of 1199SEIU. “We appreciate Commissioner Mayuga and the Adams administration defending hardworking New Yorkers from unscrupulous employers who wantonly choose to violate the law. Hopefully, this sends a message to businesses—whether large or small—that labor laws are strictly enforced in our city.”
DCWP’s cases were handled by Investigator Haley Shaffer, Investigator Jimmy Kristrom, Investigator Gabrielle Arnone, Investigator Asia Dominguez Correa, Investigator Rebecca Kwan, Supervising Investigator Alex Moran, Supervising Investigator Juana Abreu, Supervising Investigator Peter Donna, Director of Investigations Margot Finkel, Staff Counsel Maria Jennings, Staff Counsel Gabo Gutierrez, Staff Counsel Elizabeth Potter, Senior Staff Counsel Eduardo Segura, Senior Enforcement Counsel Caroline Friedman, Senior Enforcement Counsel John De Vito, Litigation Director Emily Hoffman, Data Scientist Maria Milosh, Data Scientist Amanda Gallear, Senior Data Scientist David Rauch, and Director of Data Science Elizabeth Major of DCWP’s Office of Labor Policy & Standards, under the supervision of Deputy Commissioner Elizabeth Wagoner.
The newly expanded Workers’ Bill of Rights, a multilingual and comprehensive guide to rights in the workplace in New York City, summarizes the laws that protect workers and job applicants in New York City, regardless of immigration status. The Workers’ Bill of Rights includes information on rights enforced by DCWP, like Paid Safe and Sick Leave, the Fair Workweek Law, the Temporary Schedule Change Law, and the city’s Delivery Worker Laws, as well as rights enforced by other state and federal agencies, like minimum wage and the right to organize. It also includes information about who to contact for more information or with questions, as well as how to file a complaint. Workers and employers can visit nyc.gov/workers or call 311 (212-NEW-YORK outside New York City) for more information about the laws that DCWP enforces or to file a complaint. Complaints can be filed anonymously. It is illegal for employers to retaliate against employees for filing complaints.
Since 2014, DCWP has received more than 10,000 complaints about potential workplace violations of all of the laws it enforces, closed more than 5,900 investigations, and secured more than $59 million in restitution and civil penalties for more than 74,000 workers across all workplace cases. And since the start of the Adams Administration, DCWP has secured more than $38 million in restitution for nearly 30,000 workers.
The NYC Department of Consumer and Worker Protection (DCWP)—formerly the Department of Consumer Affairs (DCA)—protects and enhances the daily economic lives of New Yorkers to create thriving communities. DCWP licenses more than 45,000 businesses in more than 40 industries and enforces key consumer protection, licensing, and workplace laws that apply to countless more. By supporting businesses through equitable enforcement and access to resources and, by helping to resolve complaints, DCWP protects the marketplace from predatory practices and strives to create a culture of compliance. Through its community outreach and the work of its offices of Financial Empowerment and Labor Policy & Standards, DCWP empowers consumers and working families by providing the tools and resources they need to be educated consumers and to achieve financial health and work-life balance. DCWP also conducts research and advocates for public policy that furthers its work to support New York City’s communities. For more information about DCWP and its work, call 311 or visit DCWP at nyc.gov/dcwp or on its social media sites, Twitter, Facebook, Instagram, and YouTube.
Media Contacts:
Michael Lanza / Stephany Vasquez Sanchez
Department of Consumer and Worker Protection
(212) 436-0042
press@dcwp.nyc.gov