Legal Question in Employment Law in Pennsylvania

breakage policy for restaurant

I am trying to impliment a policy with a restaurant re: a policy that charges employees 3-4% of their paycheck once a month to cover breakage of dishware in the rest. Are there any precidents which would prohibit me from implimenting such a policy? It would be random across the board for all employees: dishwashers, servers, chefs, bartenders, etc.

Any suggestions please. I was referred to you via the pa rest. association.


Asked on 12/18/05, 12:28 pm

2 Answers from Attorneys

Charles A. Pascal, Jr. Law Office of Charles A. Pascal, Jr.

Re: breakage policy for restaurant

Basically you're reducing their pay. You would still have to pay them minimum wage required by law, so if your reduction in their pay brought them below the minimum wage, you'd be in violation of the law.

You'd be on firmer ground to charge those who actually break dishes for the cost. If you're saying that it's a cost of your doing business, and nobody's at fault, then it's not the employees' responsibility to pay for them.

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Answered on 12/19/05, 12:40 pm
Edward Fronczkiewicz, Jr. Miksch and Fronczkiewicz

Re: breakage policy for restaurant

Tread lightly!!!

PA has a wage payment law, which can make such deductions unlawful.

If you do not take the appropriate preventive measures you can open yourself up to collection actions for wages, fees and penalties.

I am an attorney that consults with small businesses on these types of matters.

Please contact me if you wish to discuss further.

I can be contacted via email, [email protected] or click on the "Attorney Profile" link for my contact information.

Regards

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Answered on 12/19/05, 1:10 pm


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