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Thousands of restaurants across the country are, once again, facing the possibility of letting go workers or reducing hours to stay afloat as dining restrictions tied to COVID-19 continue to cripple the industry.
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September 2020
 
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Restaurants Could Be Violating WARN Act – Here's What You Need to Know
Close-up of layoff notice or pink slip in opened envelope.
September 23, 2020 via Nation's Restaurant News

Thousands of restaurants across the country are, once again, facing the possibility of letting go workers or reducing hours to stay afloat as dining restrictions tied to COVID-19 continue to cripple the industry.

Dave & Buster’s Entertainment Inc. recently laid off 1,300 employees in seven states. The company is required to notify employees of layoffs under the federal WARN (Worker Adjustment and Retraining Notification) Act, introduced in 1988 to protect employees impacted by mass layoffs.

Independent restaurants also face dried up funds tied to the Paycheck Protection Program, geared to keep employees on the payroll.

As a result, operators from coast-to-coast might not realize that they could face challenges tied to the WARN Act, including the possibility of a class-action suit for not complying to the federal law.

Eckert Seamans
HospitalityLawyer.com's ConvergeBlog
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Understanding Recent Changes to the DOL Joint Employer Test

September 2020 via FSR Magazine

The guidelines, issued by the United States Department of Labor (DOL) to assist employers including restaurants owned jointly with or managed by other companies, recently have been thrown into question by a New York federal district court.
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Preparing for the Inevitable Restaurant State Sales Tax Audit
September 2020 via QSR Magazine

Since COVID-19 invaded the U.S. earlier this year, businesses across America have struggled to connect with customers and keep their doors open. These private sector problems have, in turn, been felt by state and local sovereigns, which rely on the taxes levied on business income to fund vital government programs.

Given the budget deficits these state and local governments are now facing, its taxing authorities are likely to begin encountering increased pressure to collect more revenue. Consequently, restaurants can expect more aggressive sales tax enforcement in the near future.

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