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Management
A restaurant in Oregon paid its food servers the full state minimum wage ($7.95/hr at the time). Servers were required to contribute their tips to a tip pool. All employees of the restaurant other than managers shared in the tip pool based on their number of hours of work. The servers objected to sharing their tips with dishwashers and cooks. A server sued. What should the court decide? Why? Case: (Cumbie v. Woody Woo Inc., 596 F.3d 577 [9th Cir. 2010])

A restaurant in Oregon paid its food servers the full state minimum wage ($7.95/hr at the time). Servers were required to contribute their tips to a tip pool. All employees of the restaurant other than managers shared in the tip pool based on their number of hours of work. The servers objected to sharing their tips with dishwashers and cooks. A server sued. What should the court decide? Why? Case: (Cumbie v. Woody Woo Inc., 596 F.3d 577 [9th Cir. 2010])

Understanding Business
Understanding Business
12th Edition
ISBN:9781259929434
Author:William Nickels
Publisher:William Nickels
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
Section: Chapter Questions
Problem 1CE
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A restaurant in Oregon paid its food servers the full state minimum wage ($7.95/hr at the time). Servers were required to contribute their tips to a tip pool. All employees of the restaurant other than managers shared in the tip pool based on their number of hours of work. The servers objected to sharing their tips with dishwashers and cooks. A server sued.
What should the court decide? Why?
Case: (Cumbie v. Woody Woo Inc., 596 F.3d 577 [9th Cir. 2010]) 
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