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April 8, 2008
Skycaps Win Tip Case Against American
BNA's Daily Labor Report (subscription required) has reported on a recent jury award of $325,000 to nine American Airline skycaps in DiFoire v. American Airlines (D. Mass.). The skycaps challenged the airline's creation of a $2/bag service charge for curbside bag service under the Massachusetts Tips Law and the theory of tortious interference with the implied contractual relationship between the skycaps and customers. American ran afoul of the tip law primarily by failing to inform customers that the service charge was not a tip. A related minimum wage action against the skycap contractor (some skycaps have joint employers) is pending in arbitration.
The award could have been much larger, but the judge had previously refused to certify the case as a class action. However, this issue isn't going away, as the plaintiffs' attorney in this case (Hillary Schwab of Pyle, Rome) are already looking at several others airlines that have started similar charges.
Hat Tip: Ariana Levinson
-JH
April 8, 2008 in Labor and Employment News | Permalink
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