Starbucks Sued by N.Y. Baristas Seeking $5 Million in Damages

Starbucks Corp., the largest U.S. coffee-shop chain, was sued on behalf of more than 2,000 ``baristas'' who seek $5 million in damages for allegedly cheating them by pooling their tips with supervisors, reported The Bloomberg.

``Current employees are often afraid to assert their rights out of fear of direct or indirect retaliation,'' wrote lawyers for lead plaintiff Jeana Borenboim, who worked as a server at Starbucks for the past six years. She is seeking to represent other current and former New York baristas in a suit seeking class-action status, according to the complaint filed yesterday in federal court. The filing says some ex-Starbucks workers may worry that bringing claims would hurt their employment opportunities.

The case follows a March 21 ruling by a judge in San Diego, California, ordering Starbucks to pay $105 million in penalties because the supervisors took a share of servers' tips. Starbucks says it plans to appeal the ruling.

Supervisors ``deserve their fair share of the tips,'' Starbucks spokeswoman Valerie O'Neil said in a statement after the California ruling.

Starbucks faces similar cases in other states and one was filed in California last week by an employee of Coffee Bean & Tea Leaf, a Los Angeles-based coffee-shop chain.

Under New York labor law, employers are prohibited from taking employees' tips.

The case is Jeana Barenboim v Starbucks Corp., 08-3318, U.S. District Court, Southern District of New York (Manhattan).