Know Your Rights

Q. How do I know whether I’m an employee or an independent contractor?

In California, the presumption is that an individual is an employee, unless all three of the following conditions are met: a) the individual is free from the control and direction of the hirer in connection with the performance of work; b) the individual performs work that is outside the usual course of the hiring entity’s business; and c) the individual is customarily engaged in an independently established trade, occupation, or business of the same nature as the work performed by the hiring entity. That means if the club sets your schedule, tells you how much to charge, or controls anything about your performance, then you are an employee. If you are a painter hired one time to paint the walls of the club, you might be a true independent contractor. But if you are a dancer and the employer’s business is a strip club, you are probably an employee.

Q. The club made me sign a contract saying that I am an independent contractor. Does that mean I’m not an employee?

No. Whether an individual is an employee or independent contractor is a legal question that is not dependent on how the club or the dancer chooses to identify.

Q. Can the clubs take a percentage of our tips?

No. California law is clear that an employer does not have the right to take a single penny of your tips for supervisors, managers, or owners. The club owner does have the right to set up a tip pool and determine how tips will be allocated among non-supervisory employees (e.g., 80% to dancers, 10% to DJ, 10% to security), but they do not have the right to keep any of your tips.

Q. Can the clubs use our tips as a credit towards paying our hourly wage?

No. An employer has to pay at least minimum wage out of their own pocket. California law is clear that an employer cannot use tips to balance up the hourly wage.

Q. Is it legal for a club to charge a stage fee?

It is illegal for a club to charge a stage fee that dancers pay out of their own pockets. However, it is legal for the club to establish a commission system wherein the dancer is paid a base salary plus whatever she makes over a certain sales quota. A commission system must be set forth in a written contract. It is illegal to make the dancer pay out of her own pocket if she doesn’t meet the quota.

Q. My club said that if I wanted to work there, I had to sign their contract. Is that legal?

Yes. While the clubs cannot force you to sign the contract they give you, they do have the right to not hire you if you don’t sign the contract. An employer is under no obligation to hire you unless that decision was made for an illegal reason. Some illegal reasons include discrimination on the basis of a protected category like race or religion. Another illegal reason is if you are terminated for “protected concerted activity” or in retaliation for asserting your rights.

Q. My club has been giving me fewer and fewer shifts. What recourse do I have?

The way to mitigate the tactics of employers is through organizing and collective action. With a union, the employer will be required by law to negotiate with you over wages, hours, and working conditions.

Q. How can I tell if the club is stealing money from my paycheck?

California has the best paycheck law in the country. The law requires that every employee be provided a written pay statement or an electronically available pay statement which contains all of the following information:

The gross wages earned;

Total hours worked;

The number of piece rate units earned and any applicable piece rate (Piece rate means being paid by the dance, bottles sold, etc. Piece rate systems are often used as a way to cheat workers. If you are working under a piece rate system, you are entitled to know the piece rate and each piece rate unit on each paystub.).

All deductions, although deductions may be aggregated;

Net wages earned;

The inclusive dates of the payroll period;

The correct name of the employee and only the last four digits of the employee’s Social Security Number or employee identification number;

The name and address of the legal entity that is the employer; and

All applicable hourly rates.

If employees are not provided a written paystub but make it available electronically, the employer must make a computer terminal available where the employee can review her paystub and print a copy.

The law allows an employee to examine her payroll records for three years. The employer has 21 days to allow an employee to inspect and copy payroll records

Q. What can I do if I know or suspect my club is stealing my wages or issues me an inaccurate paycheck?

If you know or suspect your club is stealing money from your check or not complying with California law regarding paychecks, you may file a claim with the California Labor Commissioner’s office:

https://www.dir.ca.gov/dlse/HowToFileWageClaim.htm

If you are represented by a union, claims for unpaid paid wages must be filed as a grievance under the collective bargaining agreement.

You can also report labor law violations that affect a group of workers:

https://www.dir.ca.gov/dlse/HowToReportViolationtoBOFE.htm

Q. I was recently fired by my club and the club still owes me money. What can I do?

If employees are not paid all of their wages upon termination, there is up to a 30 day penalty of the daily wage for failure to pay all wages upon termination. The California Labor Commissioner’s office can help you collect these penalties from your former employer.

Q. Why do dancers need a union?

A union changes the balance of power between the club and the dancers. Once you win union recognition, the club would be required to negotiate with you about wages, hours, and working conditions. You could negotiate language into your contract to protect dancers from being fired without just cause and other protections against disparate treatment. You would have recourse to challenge the club’s actions through a grievance and arbitration procedure rather than hiring a lawyer and filing a lawsuit, which is expensive. Workers with unions make higher wages and have more benefits like health insurance and pensions/retirement savings than their non-union counterparts. You could negotiate other improvements into your contract like paid time off, vacation time, predictable schedules, etc. Without a union, the club has nearly full control of your working life.

HELPFUL LINKS TO INFORMATION

Last updated February 18, 2019

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