Ethos Cannabis Employee Tip Investigation

Migliaccio & Rathod LLP is investigating whether Ethos Cannabis dispensary employees may have been deprived of customer tips or whether money customers intended as tips was instead redirected or retained for another purpose.

A public employee report from an Ethos Cannabis location alleged that employees were not permitted to receive tips even though money was collected from customers and characterized as “donations.” The available information does not establish where that money ultimately went, but it raises concerns about whether money customers intended for employees was properly handled.

Public labor records also identify Ethos Cannabis retail positions including budtenders, cashiers, inventory employees, receptionists, drivers, and shift leads, while distinguishing managerial employees and supervisors.

Migliaccio & Rathod is investigating how customer tip or “donation” money was collected and distributed at Ethos Cannabis locations and whether employees received all tips or other compensation to which they were entitled.

Employees May Have Experienced:

  • Customers leaving money that appeared to be intended as employee tips;
  • Employees being told that they were not permitted to receive tips;
  • Tip containers or similar collection methods being described as collecting “donations”;
  • Customer money being collected without employees receiving it;
  • Employees not being told where collected money ultimately went; and
  • Uncertainty about how customer tips or donations were handled by the dispensary.

Potential Claims May Include:

  • Improper retention or diversion of employee tips;
  • Failure to distribute tips owed to employees;
  • Unlawful use of money intended as employee tips;
  • Violations of the Fair Labor Standards Act;
  • Violations of applicable state wage laws; and
  • Recovery of unpaid tips or other compensation.

Signs You May Be Affected:

  • You worked for Ethos Cannabis as a budtender, cashier, shift lead, or similar employee;
  • Customers regularly left cash that appeared to be intended as tips;
  • Employees were told that customer money was a “donation” rather than a tip;
  • You did not receive money that customers left for employees;
  • You were not told how collected customer money was distributed; or
  • Your location collected customer money in a tip jar, donation jar, or similar container.

If you have encountered these issues, we would like to hear from you. Please complete the contact form on this page, send us an email at [email protected], or give us a call.

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