PHOENIX — Exotic dancers in Arizona and Florida have brought two separate proposed class action overtime lawsuits. In both lawsuits the dancers claim their employers violated the Fair Labor Standards Act (FLSA) when they purposefully misclassified the dancers as independent contractors to avoid paying proper wages, tips, and overtime. The lawsuit filed in Arizona federal court is on behalf of exotic dancers working at seven clubs operated by Entertainment USA Inc. in Ohio, North Carolina, and Arizona. The Florida lawsuit against King of Diamonds club and its parent company, Galardi South Enterprises Consulting Inc., seeks to represent current and former misclassified exotic dancers employed by the Miami-based club.
The Arizona Claim
Allyson Kesley, a former exotic dancer at Christie’s Cabaret, claims the company refused to pay its dancers regular wages. Kesley alleges the company only paid its dancers in tips, and only a portion of the tips received, because it refused to recognize them as employees. As a result of being classified as independent contractors, the dancers were not entitled to or provided minimum wage protections or overtime pay when they worked more than 40 hours a week, which they frequently did. Christie’s Cabaret also allegedly charged the dancers a “house fee” each shift; required the dancers share their tips with bouncers, disc jockeys, and the “house mom”; and encouraged patrons to tip with club certificates, which the dancers redeemed at lower than face value.
The Miami Claim
Six King of Diamonds’ adult entertainers claim the club refused to pay regular wages or overtime to the dancers. The lawsuit alleges that the company required the dancers to stay at the club even when the business was closed, which prevented them from earning tips or seeking other employment opportunities. The company allegedly, as in the Arizona case, controlled what the dancers wore, required unpaid attendance of staff meetings, and dictated onstage behavior. As with the Arizona case, Miami’s dancers had to pay a “house fee” each shift and tips were their only source of income. However, the dancers never knew how much they actually received since security collected the tips and took them straight to management. They were also fined for failure to show up for a shift.
Independent Contractors
There is no one definition for an independent contractor, but an independent contractor is usually employed on an as needed basis with a company, but maintains control of when and how work is completed. In both exotic dancers’ cases, the clubs controlled the hours worked, how the work was completed, what the dancers wore, and the clubs exercised hiring and disciplinary authority over the dancers. The clubs relationship with the dancers appears to be more employer-employee than company and independent contractor.
Determining if you have been misclassified as an independent contractor can be complicated. Call our knowledgeable team of overtime pay lawyers today at (855) 754-2795 or complete the Free Unpaid Overtime Case Review form and our experienced legal team will evaluate your case. If we accept your case, we will represent you under our No Fee Promise. This means there are no legal fees or costs unless you receive a settlement.