Seattle Office of Labor Standards Reaches Settlement with Zeeks Pizza for Repeat Violations of Wage Theft Ordinance
Nearly $410,000.00 Dollars Returned to 224 current and former employees
The Seattle Office of Labor Standards (OLS) settled with Zeeks Pizza after investigating an alleged second violation of the Wage Theft Ordinance by the local pizza chain. Zeeks Pizza, which settled with OLS regarding similar allegations in April 2019, agreed to pay a total financial remedy of $409,226.80 to 224 current and former employees.
OLS alleged that for several periods between January 1, 2019, and January 1, 2022, the company failed to disclose, on menus and customer receipts, the percentage of the service charge paid to the employees serving the customer, as required by Washington State law. If any portion of a service charge is not clearly designated as being retained by the employer, it must be paid to the employees serving the customer.
“It's disheartening to deliver food and not know whether a tip is low because the customer chose that amount or because they thought the delivery fee goes to you. So, getting these delivery fees back plus damages feels great. This money will make a big difference in our lives,” said a Zeeks’ employee. “I also want to thank the customers that asked us who got the delivery fee when they weren't sure: I know asking might have felt awkward but please know that your concern was appreciated! I'd encourage all workers in the food and service industry to make sure that their employer is following the laws and not taking money that's legally yours. If something doesn't seem right: reach out to OLS and/or talk with your coworkers about it!”
“It is our hope when investigations are settled with businesses, they remain in compliance moving forward. Failure to disclose, on menus and customer receipts, the percentage of the service charge paid to the employees serving the customer, as required by Washington State law is a widespread issue in Seattle that needs to be addressed and resolved. This settlement is an opportunity for Zeeks to improve its business practices and policies and make an impactful change,” said OLS Director Steven Marchese. “All Seattle businesses would benefit from systems being put into place to ensure compliance. Businesses can contact OLS for free technical assistance to ensure they are in compliance with the Wage Theft Ordinance and other Seattle labor laws that may apply to them.”
“Zeeks stands with our drivers. We agree with OLS’s mission and have a history of cooperation with the office. We pay our drivers well and fairly and believe we complied with the statute in good faith. Any technical violations were temporary, immaterial and were caused by a former software vendor, not by Zeeks employees. Importantly, nothing that happened caused our drivers, on average, to receive fewer or smaller tips from our customers,” said Tom and Doug, Founders, Zeeks Pizza.
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