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Chickie’s and Pete’s Forced to Pay Back Employees Over Strange Tax

Chickie’s and Pete’s/youtube

Have you heard of a ‘Pete’s Tax’?



I’ve never heard of that kind of tax either, but I bet you the employees at Chickie’s and Pete’s have heard of it, and it’s totally bogus.


According to The Press of Atlantic City:

The managers forced servers to contribute a portion of their tips to managers in cash at the end of their shifts. The chain’s management called this “Pete’s tax,” and in some cases forced servers to make cash withdrawals from automated teller machines to pay the fee if their customers paid through credit cards that night, U.S. Labor Department spokeswoman Leni Fortson said.


Crazy, right? Now the restaurant is now ordered to pay $6.8 million for wage-and-hour violations for charging its servers a bogus fee. 


Don’t get me wrong, if I could live off of Chickie’s and Pete’s Crab Fries, I WOULD!!!  I love this sports bar, and if any other restaurant was pulling this ‘Pete’s Tax’ or whatever you want to call it, I would be writing the same story about them.


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