By Gary Raynaldo / DIPLOMATIC TIMES
New York- Pret A Manger agreed to cough up nearly $1,000,000 to settle a class-action lawsuit accusing the U.K.-based sandwich chain of underpaying staff at its stores in New York. A lawsuit was filed last month accusing the sandwich shop giant of violating US labor laws by failing to pay staff for all the hours they worked. The lawsuit alleged Pret A Manger engaged in an illegal practice called “time-shaving”, when hours are rounded down so that employees are paid less, the Times reported. After mediation, Pret decided to settle the case for $875,000.
Second Time Pret A Manger Accused Of Underpaying New York Staff
It is the second time the UK-based firm has been hit by accusations of so-called time-shaving in New York, according to CITY A.M. In 2014 it settled a class action lawsuit by paying out $910,000, but did not admit liability. The suit was initiated by more than 4,000 class workers who claimed Pret A Manger willfully violated the Fair Labor Standards Act and the New York Labor Law. The workers claimed the sandwich chain failed to pay them for time spent donning and doffing their uniforms, as well as time spent waiting to use changing rooms. This failure allegedly violated both NY labor law and FLSA.
Managers at several Manhattan, New York Pret A Manger sandwich stores refused to comment on the settlement or the issue of employees’ pay. Pret A Manger issued a written statement to DIPLOMATIC TIMES:
“We are absolutely committed to making sure all our Team Members are paid for all the hours that they work,”Pret A Manger statement.
Pret A Manger is a 32-year-old sandwich chain that makes sandwiches and salads fresh daily. Global investment firm JAB acquired a majority stake in Pret A Manger in May 2018. The sandwich chain operates 530 stores worldwide, generating revenues of £879 million.