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Managing staff tips in a restaurant can be a delicate balancing act. Evaluate Legal Considerations Tipping laws vary widely by region. Research the following before implementing your policy: Tip Pooling Laws : Some regions allow mandatory tip pooling, while others restrict it. Mediation : Use a neutral party (e.g.,
Navigating the bustling world of the restaurant industry comes with its own set of challenges, and one critical area that often flies under the radar is worker classification. Key considerations include: Wage and Hour Laws The Fair Labor Standards Act (FLSA) sets standards for minimum wage, overtime pay and recordkeeping.
Immigration and Customs Enforcement (ICE) has intensified its focus on industries that employ large numbers of undocumented workers, and restaurants remain a top target. A lack of preparation can lead to hefty fines, operational disruptions, and even criminal charges. military veteran whose documentation was questioned.
A new year is creeping up on us again, bringing fresh opportunities—and challenges—for restaurantoperators. From updating policies to gearing up for tax season, these steps will enhance your compliance and position your restaurant for sustained growth.
Whether in favor of or against these new marijuana laws, restaurant businesses that operate in multiple states need to be especially careful about how they approach marijuana in workplace situations. This is becoming especially tricky for restaurant businesses or chains that operate across multiple states.
Serving alcohol is a fundamental part of many restaurantoperations, but it also presents significant liability risks. From over-serving intoxicated guests to improperly checking IDs, restaurants can face serious legal, financial and reputational consequences for failing to effectively manage their liquor liability risks.
It's important for operators to ensure they are abiding by the law and compensating the creators and rights holders. What should restaurantoperators know about music licensing? Why do you think so many operators are unaware of licensing fees? Are there licensing scam schemes operators should be aware of?
The pandemic has changed the physical and economic environment in which restaurantsoperate. Food delivery can be done either through the restaurant itself or through unrelated third-party online food delivery services. Marketplace Collection Laws. Today, all but three states with a state sales tax have enacted such laws.
For restaurants, this means dine-in service will begin again — or will be soon — and more employees will be returning to work. This is great news for an industry that has seen countless restaurants limited to takeout or delivery orders, if they were even able to remain open at all during the COVID-19 crisis.
As the restaurant industry continues to evolve in 2025, effective legal strategies are more important than ever for operators aiming to grow and scale their businesses properly. A strong structure built on a legal framework will guide your brand to grow thoughtfully, efficiently and without operational setbacks.
In today's digital landscape, restaurants have become prime targets for cybercriminals who take advantage of potential entry points from point-of-sale systems, online ordering platforms, customer databases, loyalty programs and third-party delivery services. Consider the alarming pattern over the past three years.
On January 1, 2023, Assembly Bill (“AB”) 676 went into effect, significantly amending the California Franchise Relations Act and Franchise Investment Law. franchise disclosure documents. Restaurant franchisees should review their existing franchise agreements and disclosure documents for these types of provisions.
Let’s start with an uncontroversial premise: California’s complex, ever-changing gauntlet of employment laws is difficult for any company to navigate. Yet you may still be wondering why, aside from the headache, does it matter for my restaurant? California employment law isn’t intuitive. Why Compliance Matters.
How operators can reduce risk with better documentation, consistent policies, and stronger training. But when I asked about the documentation, I got a sheepish shrug. But when I asked about the documentation, I got a sheepish shrug. Here’s what every restaurantoperator needs to know.
Legal and other matters referred to in this article are based on 7shifts' interpretation of laws existing at the time and should not be relied on in place of professional legal advice. With labor laws on age, wage, overtime, and time off–many of which vary between New York State and New York City–it’s easy to overlook a law or two.
Some of the biggest restaurant businesses on the planet are franchises. They employ thousands of people and have served billions, and with so many people affected, it's understandable why there are franchise-specific laws and regulations in place. Who Regulates Franchise Compliance Laws? Federal Law Compliance.
Controlling the variables in the restaurant industry can feel like a game of whack-a-mole if you don’t have the right tools at your fingertips. Modern restaurant technology can provide peace of mind to operators worried about food safety violations, labor law mistakes, falsified data and more.
Nearly 6 weeks after the American Rescue Plan was signed into law, the Restaurant Revitalization Fund is a reality. billion in grants for restaurants to use to cover everything from payroll to rent. Get your documents ready (more below). This includes: Restaurants. The fund sets aside $28.6 How do I apply?
Making decisions for your restaurant without business intelligence is like trying to run a sushi restaurant without fish — without it, you aren't going to stay open for very long. It's what separates the restaurants that survive from the restaurants that thrive. Getting value from restaurant business intelligence.
An upgraded AI function can now generate incredibly realistic images, including fake restaurant receipts. This new capability opens the door for unscrupulous individuals to try and scam restaurants out of free meals, gift cards, and more. What are some things restaurantoperators do to protect their businesses from AI-generated fraud?
As the COVID-19 pandemic continues, restaurant workers of all types need time off to rest, recharge, and hopefully return reinvigorated to serve your customers. Employers are encouraged to review applicable federal, state and local leave law provisions. Employers generally have leeway to approve or deny requests for time off.
Massachusetts has a unique mix of labor laws and employee protections that apply to restaurants in the state. Between their relatively high minimum wage and tip credit, wide-ranging state law on tips, and detailed guidelines on employing minors, it can be hard for restaurants to navigate.
Particularly for operators in the restaurant industry, who face high-volume hiring as a result of toxic turnover, it’s critically important to be diligent regarding employment eligibility to avoid penalties. Incompletion and Errors Put Restaurants at Risk. There’s a lot more to the Form I-9 than it would appear.
This is the restaurant back office in its natural state – but not at all at its finest. Even though the practice of restaurant management continues to move digital, the physical space of your restaurant back office still needs to be organized.
As restaurants begin the process of reopening, some with an extended period of nonoperation, there are safety precautions that must be considered beyond simply ordering supplies, rehiring staff and opening the doors. All of which could occur during prolonged periods of non-operation. Train Employees to the Written Plan.
The Freelance Isn’t Free Act (FIFA) represents a significant shift in labor law, providing new protections for freelance workers across New York state. This law requires written contracts for freelance engagements worth $800 or more or lasting longer than 120 days. Anti-retaliation protections. T – Timely payments.
This edition of Modern Restaurant Management (MRM) magazine's Research Roundup features the present and future of AI use in F&B, The Splintered Path to Purchase, the Datassential 500 Awards, and where chefs are earning six figures. At the same time, U.S. chain sales grew just 3.1 percent in 2024 — falling short of the 4.1
Massachusetts has a unique mix of labor laws and employee protections that apply to restaurants in the state. Between their relatively high minimum wage and tip credit, wide-ranging state law on tips, and detailed guidelines on employing minors, it can be hard for restaurants to navigate.
Massachusetts has a unique mix of labor laws and employee protections that apply to restaurants in the state. Between their relatively high minimum wage and tip credit, wide-ranging state law on tips, and detailed guidelines on employing minors, it can be hard for restaurants to navigate.
From infamous chicken sandwich wars to on-trend plant-based burgers and acai bowls, it’s safe to say that 2019 was a trademark year for restaurants. With all of 2019’s success, restaurantoperators are also facing challenges that can be addressed with the help of technology in the New Year. trillion in sales by 2030.
Operating a successful restaurant, let alone a portfolio of restaurants, is one of the most challenging businesses in the market. A restaurant’s legal counsel can be a key advisor and ally in positioning the business for growth while helping minimize risk. Date around.
Food and Drug Administration (FDA) has issued two temporary food labeling guidance documents that attempt to balance industry supply and demand during the novel coronavirus pandemic. Labeling on Packaged Food Sold by Restaurants and Food Manufacturing Facilities.
Managing multiple restaurant locations is a good challenge to have. But to be clear, multi-location restaurant management is challenging. Whether you’re managing multiple restaurants right now or are thinking about expanding your current business , this guide has everything you need to run more than one restaurant at once with success.
New York restaurant owners must maintain compliance with laws and regulations on multiple levels: statewide regulations, federal guidance, and local ordinances. The result is a complex patchwork of laws that varies from place to place. The restaurant then retaliated against the staff member who reported the violation.
New York restaurant owners must maintain compliance with laws and regulations on multiple levels: statewide regulations, federal guidance, and local ordinances. The result is a complex patchwork of laws that varies from place to place. The restaurant then retaliated against the staff member who reported the violation.
It’s been five years since you opened your first restaurant. One day someone approaches you about buying the right to open one of your restaurants in a nearby city. What does it really mean to franchise your restaurant? Develop an Operations Manual. Business is great and customers keep coming back for more.
Every manager aims for maximum operational efficiency in their restaurants, but achieving this isn't easy, with the industry's success rate recorded at only 20%. This is where developing a comprehensive restaurantoperations plan comes in.
Over the past few months, many restaurants made difficult decisions to reduce their workforce and apply a strict delivery and takeout format or pause operations entirely due to COVID-19. Unexpected downtime, when paired with a swift return to work, can present new risks to restaurant employees. Communicate Return Criteria.
Did you know that more sexual harassment claims are filed in the restaurant industry than in any other industry? Sexual Assault Awareness Month (SAAM) in April is an opportunity for restaurant and bar owners to review existing policies and develop new ones. What if an incident occurs outside of the restaurant or bar?
Aside from the usual laws, like not selling liquor to minors or visibly intoxicated customers, the candidate must be aware of other regulations in your state. For instance, if you operate in Indiana, North Carolina, or Oklahoma, they should know that happy hours aren’t allowed in those states. What did you do?
An audit can also be a powerful tool that can help you improve the financial health and profitabilit y of your restaurant. How to Conduct a Successful Restaurant Audit First, take stock of the following areas of your restaurant business: Cleaning and Sanitation It’s difficult to overstate the importance of sanitation for restaurants.
Did you know that payroll/labor makes up almost one-third of a restaurant'soperating costs ? Understanding the ins and outs of paying employees, observing labor laws, and complying with the tax code is critical to running a business. This restaurant payroll guide will teach you: What payroll is. And if you don’t.
The current situation Involving lack of travel, dining out, and attending live entertainment, including sporting events, is of course having an adverse impact on hotels, restaurants and entertainment venues. Restaurants of all sizes have also been hit hard. The smaller restaurants may never re-open, depending on capital and expenses.
2 hours per week When Mattenga’s bought the restaurant in 2014, they had been using spreadsheets to keep track of their weekly schedules. Optimizing & reducing labor costs Mattenga’s kept their labor costs steady at 22% - 27% A restaurateur’s labor costs are one of the largest—yet most flexible—of all the restaurant costs.
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