Shake Shack employee schedules $6M class action lawsuit settlement

Shake Shack agreed to a $6 million class action lawsuit settlement to resolve claims it failed to provide consistent and lawful schedules.

The settlement benefits hourly employees who worked at New York City Shake Shack restaurants between Jan. 1, 2019, and March 3, 2022.

Shake Shack is a national restaurant that sells burgers, shakes and other food items. The company started as a hot dog cart in New York City aiming to raise funds for a public art project. 

New York City Shake Shack employees claim the company consistently fails to provide them with consistent and reasonable schedules. These actions allegedly violate the New York City Fair Workweek Law.

The Fair Workweek Law requires fast food employers to provide workers with regular schedules that stay the same from week to week. These schedules must be given 14 days in advance. If workers are scheduled for “clopenings” — where they close the store one day and open it the next — or if the fast food restaurant must change worker schedules, workers are entitled to premium payments. The law also protects fast food workers’ hours and employment.

Shake Shack restaurants in New York City allegedly violate these requirements by failing to provide consistent schedules, failing to provide schedules with 14 days’ notice, failing to pay premiums for clopenings and failing to offer shifts to current fast food employees instead of hiring new workers. Plaintiffs in the Shake Shack lawsuit sought fines under the Fair Workweek Law for these alleged violations.

Shake Shack hasn’t admitted any wrongdoing but agreed to pay $6 million to resolve these allegations.

Under the terms of the settlement, class members can receive a cash payment. Payments will vary depending on workweeks worked during the class period, hours worked, schedules, premiums paid and other relevant information gained from Shake Shack’s records. Class members who worked more workweeks during the class period will receive a larger share of the settlement fund. 

For tax purposes, Shake Shack lawsuit settlement payments will be treated as premium payments and statutory damages. The payments will result in a 1099 tax form. Class members are responsible for all tax consequences of these payments and may wish to consult a tax professional.

The deadline for exclusion and objection is Sept. 24, 2022. 

The final approval hearing for the Shake Shack lawsuit settlement is scheduled for Dec. 21, 2022.

In order to receive a settlement payment, class members must submit a valid claim form by Sept. 24, 2022.

Who’s Eligible

The settlement benefits hourly employees who worked at New York City Shake Shack restaurants between Jan. 1, 2019, and March 3, 2022.

Potential Award

Varies

Proof of Purchase

Proof of purchase not applicable

Claim Form

NOTE: If you do not qualify for this settlement do NOT file a claim.

Remember: you are submitting your claim under penalty of perjury. You are also harming other eligible Class Members by submitting a fraudulent claim. If you’re unsure if you qualify, please read the FAQ section of the Settlement Administrator’s website to ensure you meet all standards (Top Class Actions is not a Settlement Administrator). If you don’t qualify for this settlement, check out our database of other open class action settlements you may be eligible for.

Claim Form Deadline

09/24/2022

Case Name

Tyson v. Shake Shack Enterprises LLC, Case No. 514220/2022, in the Supreme Court of the State of New York, County of Kings

Final Hearing

12/21/2022

Settlement Website

ShakeShackNYCFWWSettlement.com

Claims Administrator

Tyson v Shake Shack Enterprises, LLC
c/o Analytics Consulting LLC
P.O. Box 2004
Chanhassen, MN 55317-2004
info@ShakeShackNYCfwwSettlement.com
833-697-3145

Class Counsel

Sally J. Abrahamson
WERMAN SALAS PC

Defense Counsel

Glenn S Grindlinger
Carolyn D Richmond
FOX ROTHSCHILD LLP