Finance
Strip club sued by dancers over ‘socialist’ tip system
Two dancers at an Alabama strip club are suing their former employer over several alleged violations that include a “socialist” tip sharing system.
The former dancers at Sammy’s Strip Club in Birmingham, Alabama said the club owners allegedly “forced a socialist economic system” by requiring them to share their tips among the club’s staff as part of an “illegal tipping pool.”
“[Club owners] forced a socialist economic system on the dancers mandating they subsidize their co-workers,” the lawsuit filed in the Northern District of Alabama on Sunday said.
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The two dancers, who were not identified in the lawsuit, said they were classified as independent contractors and denied minimum wage and overtime.
“During their time being employed by defendants, plaintiffs were denied minimum wage payments and denied overtime as part of defendants’ scheme to classify plaintiffs and other dancers/entertainers as ‘independent contractors,’” the lawsuit stated.
Citing the Department of Labor, the suit alleges that this “scheme” is found in a growing number of U.S. workplaces “as a means to cut costs and avoid compliance with labor laws.”
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The dancers also said the club owners would force them to pay a kickback, called a “house fee,” to work, and the club would increase this fee later in the night, according to the lawsuit.
“Defendants would also force plaintiff to pay kickbacks to the club just to work. These kickbacks were called ‘house fees.’ In order to further control plaintiffs, the club would increase the amount of kickbacks later into the evening,” the lawsuit said.
The former dancers at Sammy’s Gentleman Club in Birmingham are seeking $100,000.
Ten other unnamed Sammy’s employees are also listed as defendants.
Fox News has reached out to Sammy’s Gentlemen Club for comment.
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