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Employees sue Café Corazón over mandatory tip pool; supervisors, managers get to keep portion

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MILWAUKEE — Café Corazón employees are suing the restaurant and the related companies over a mandatory tip policy that distributes tips between the front-of-house staff, supervisors and managers, according to a complaint.

The employees said they have lost income because of the tip pool practice, and management and supervisors keeping a portion of the tips amounts to "tip theft." They said in the suit that this practice is against the law, and management knew.

There are four Café Corazón locations in Wisconsin, and all have the same tip pool policy: a location in Riverwest, Bay View, Brown Deer, and Mequon.

Check out: Employees sue Café Corazón over mandatory tip pool; supervisors, managers get to keep portion

Employees sue Café Corazón over mandatory tip pool; supervisors, managers get to keep portion

Tips did not just include cash left for servers; credit card tips were also split between the staff.

The suit says Café Corazón violated the Fair Labor Standards Act and calls for acknowledgment of the violations, payment of the tip money lost to management and supervisors, and payment for legal costs.

According to a general manager at the Riverwest location, the lawsuit has been acknowledged and they are waiting on legal guidance before releasing a statement.


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