January-March 2023

OLS investigated Northgate Inns Inc. dba Hotel Nexus and its owners for alleged violations of the Wage Theft, Paid Sick and Safe Time (PSST), Protecting Hotel Employees from Injury, and Hotel Employees Safety Protections Ordinances. Hotel Nexus is a hotel in Seattle with approximately 50-100 employees. It is part of 360 Degree Hotel Group that owns and operates 6 hotels in the Puget Sound region. Under the Wage Theft Ordinance, OLS alleged Hotel Nexus failed to pay employees for vacation balances upon separation, despite its written policy to do so; did not always permit employees to take compliant meal breaks; and occasionally modified employee timeclock records without explanation, resulting in fewer hours paid to employees than initially reflected in the employee’s timeclock punches. Under the PSST Ordinance, OLS alleged Hotel Nexus did not have a sufficient written policy regarding PSST and failed to pay one employee when the employee requested to use PSST. Under the Protecting Hotel Employees from Injury Ordinance, OLS alleged Hotel Nexus was not correctly calculating payments for cleanings beyond the maximum floor space for a period of time, and Hotel Nexus failed to obtain consent to clean beyond the maximum floor space when the ordinance first went into effect. Finally, under the Hotel Employee Safety Protections Ordinance, OLS alleged Hotel Nexus did not have a written policy against violent or harassing conduct by guests. Hotel Nexus and its owners settled the allegations and agreed to pay a total financial remedy of $218,194.75 to 154 affected workers in back wages, interest, liquidated damages, civil penalties, and fines, and $535 to the City of Seattle in fines. Additionally, they agreed to attend a management training regarding Seattle’s labor standards and, during the investigation, updated their PSST policy, written policy against violent or harassing conduct by guests, policy for receiving employee consent to clean beyond the maximum floor space, policy and procedure regarding meal breaks, and method of calculations for payments for cleanings beyond the maximum floor space.

Lyft, a large transportation network company with over 9,000 Seattle workers, agreed to an informal resolution of allegations under the Transportation Network Company (TNC) Minimum Compensation Ordinance for the time period between September 1, 2022 and December 31, 2022. Lyft conducted an analysis of rides during that time period and identified 325 instances for which Lyft appeared to pay drivers below the minimum compensations required by the Ordinance. Lyft agreed to make settlement payments totaling $1,428.14 for back pay to 306 affected drivers.   

Uber, a large transportation network company with over 15,000 Seattle workers, agreed to an informal resolution of allegations under the TNC Minimum Compensation Ordinance for the time period between October 1, 2022, and December 31, 2022. Uber conducted an analysis of rides during that time period and identified 2,571 trips for which payment fell below the minimum compensations required by the Ordinance. Uber agreed to make settlement payments totaling $22,609.24 for back pay, liquidated damages, and civil penalties to 197 affected drivers.   

OLS investigated Pink Bee, LLC, a small Thai restaurant operating one Seattle location with approximately 12 employees for alleged violations of the PSST and Wage Theft Ordinances. OLS alleged the employer failed to provide employees with a written PSST policy, provide required written notices of employment information, post up to date required OLS workplace posters, and retaliated against one employee for requesting use of PSST. The company settled the allegations and agreed to pay a total financial remedy of $16,549.89 to one employee. The company also agreed to attend management training, provide employees with notices of employment information, develop and implement a written PSST policy, and post up to date OLS Workplace Posters. 

OLS investigated Inter-Con Security Systems Inc. for alleged violations of the PSST Ordinance. The California-based company contracts with businesses to provide security services within the Seattle area. OLS alleged the employer disciplined an employee in retaliation for using PSST when the employee called out for an on-call shift and followed an uncompliant PSST and on-call policy. After OLS initiated its investigation in April 2022, the company rescinded its disciplinary action, developed a compliant PSST policy, and discontinued its unlawful on-call policy. Inter-Con Security Systems Inc. settled the allegations and agreed to pay a total financial remedy of $4,747.98 to the affected employee and $560.93 to the City of Seattle. 

OLS investigated Koku LLC dba Koku Café Market, Koku Café + Market and its owner for alleged violations of the PSST Ordinance. The restaurant has one location in Seattle with approximately six employees. OLS alleged the employer failed to provide employees with a written PSST policy, did not provide employees with sufficient notice of PSST accrual and balance information, and retaliated against one employee for requesting to use PSST. The company settled the allegations and agreed to pay a total financial remedy of $3,522.14 to one employee and $550 to the City of Seattle. The company also agreed to develop and implement a written PSST policy, provide sufficient notification of PSST accrual and balance information, and attend management training about PSST policies. 

OLS reached an informal resolution of allegations under the Gig Worker Paid Sick and Safe Time (PSST) Ordinance with Amazon Logistics, Inc. (Amazon Flex), a large food delivery network company. OLS alleged Amazon Flex failed to provide full payment for two PSST days that a driver previously claimed and used. Amazon Flex agreed to make a total settlement payment of $2,059.31 for back pay, interest, liquidated damages, and civil penalties to the affected driver.