A second popular Milwaukee restaurant is facing a federal lawsuit over what an employee calls illegal tipping practices.
The latest lawsuit, filed Feb. 12, concerns Steny’s Tavern and Grill, 800 S. 2nd St. A front-of-house employee filed the suit, which also alleges that Steny’s wrongfully claimed a tip credit it was not entitled to receive.
Here’s what we know about the suit and the illegal tipping practices allegations.
What are the illegal tipping practices allegations at Steny’s?
The suit alleges Steny’s, 800 S. 2nd St., operates an unlawful mandatory tip pool that includes kitchen workers, who do not customarily receive tips, and claimed a tip credit it was not entitled to receive in violation of the Fair Labor Standards Act.
A tip credit is a provision under the FLSA that allows an employer to count a portion of a tipped employee’s tips towards the employer’s obligation to pay that employee per workweek an amount equal to the required minimum wage and overtime compensation.
Who filed the Steny’s lawsuit?
Nathan Witman, a Steny’s front-of-house employee, filed the lawsuit.
The suit says Witman worked at the restaurant at various points over the last three years.
How many employees are affected by the tipping practices outlined in the lawsuit?
At least 40 employees, including Witman, are affected by the tip pool, the lawsuit says.
What other Milwaukee restaurants are facing lawsuits over alleged illegal tipping practices?
At least three different Milwaukee restaurants are facing similar lawsuits, all of which were filed within the past 12 months.
Aside from Steny’s, lawsuits have been filed against the St. Paul Fish Company’s Milwaukee Public Market location and Café Corazón.
St. Paul Fish Company is accused of illegally allowing its managers to take tips set aside for other restaurant workers. That suit was filed in January.
Similar allegations have been made against Café Corazón. Employees there said in a lawsuit filed in April 2025 that tips earned by front-of-house employees at all four Corazón locations were recorded, pooled, and then redistributed based on hours worked, including to managers and supervisors.
What does the Steny’s lawsuit ask for?
The lawsuit seeks to recoup the unpaid minimum wages of all the affected employees and the sum of any tip credit taken and all tips unlawfully kept, among other damages.
This article originally appeared on Milwaukee Journal Sentinel: What we know about the lawsuit alleging illegal tipping practices at Steny’s
Reporting by Steven Martinez, Milwaukee Journal Sentinel / Milwaukee Journal Sentinel
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