New York City Mayor Mamdani, along with the Director of the Department of Consumer and Worker Protection (DCWP) Levine, announced enforcement actions against two businesses for violations of labor rights laws and leave protections. The enforcement action resulted in a settlement agreement providing over $1.8 million in compensation to more than 800 fast-food and retail workers.
The City filed a lawsuit against Dunkin’ franchisees, accusing 21 of its stores on Staten Island of violating the Fair Workweek Law. The City’s official website link for more information can be found at: https://tinyurl.com/2cxe3jka
The allegations against Dunkin’ franchisees mainly focus on failure to provide employees with advance notice of schedule changes and forcing them to work different shifts in a very short period, causing difficulties in workers’ lives. The DCWP Director emphasized that these violations are not isolated incidents, and the City will enhance supervision of these businesses and demand immediate corrections.
According to the City’s announcement, compensation totaling $1.8 million will be distributed to over 800 affected workers. Most of these workers are from the fast-food industry, with some expected to receive over $10,000 each in compensation. The amount of compensation varies depending on the specific violations, including scheduling issues workers faced and the existence of “clopening” situations.
“Clopening” was a major focus of the City’s enforcement action. The Mayor explained that this scheduling pattern involves employees closing a store at night and then being required to open it early the next morning, providing them with very little rest time between shifts. According to New York City law, this situation can only occur with employees’ consent and must involve additional compensation.
The City stated that the compensation will be directly deposited into workers’ bank accounts. For those who do not provide a bank account, checks will be mailed as an alternative method of payment. This measure aims to simplify the compensation process and reduce instances where workers do not receive their rightful compensation due to cumbersome procedures.
Under current New York City regulations, fast-food employers must provide 14 days’ notice of work schedules, while retail employers must provide 72 hours’ notice. Employers who violate these regulations are required to provide additional compensation.
The DCWP highlighted that investigations are initiated through a complaint mechanism, where workers can report violations anonymously through the official website nyc.gov/workers or the municipal service hotline 311. Retaliation by employers is illegal.