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Owners of the Oakland Radisson Hotel sued by the city over alleged $400,000 payroll fraud

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Owners of the Oakland Radisson Hotel sued by the city over alleged 0,000 payroll fraud

PIX Now Afternoon Edition 6-28-24


PIX Now Afternoon Edition 6-28-24

08:25

The owners of the Radisson Hotel Oakland Airport are facing a lawsuit from the city, which alleges it underpaid employees by more than $400,000.

In the lawsuit, Oakland City Attorney Barbara Parker alleges that the hotel owner, Oakland Alameda Hotels LLC, failed to pay 128 employees the proper minimum wage from July 2019 through April 2020.

Under Oakland’s Measure Z, hotels must pay their employees $15 per hour with health insurance or $20 per hour without health insurance.

“By filing this lawsuit, Oakland is standing up for our city’s low-wage workers,” Parker said. “We will continue to use all legal tools at our disposal to protect the rights of all workers to be treated with dignity and receive the wages they are entitled to under Oakland law.”

In October and December 2023, the city sent two letters to hotel management asking them to pay or appeal, and earlier this month Parker sent a letter warning that a lawsuit was imminent.

“We have endured injustice from our former employer for too long. Today’s lawsuit gives us hope that justice will prevail and that no employee will have to suffer wage theft,” said former Radisson employee Ana Bermudez.

In the lawsuit, filed in Alameda County Superior Court, Parker asks that the hotel exceed the $404,491.43 it allegedly owes the employees and also impose a $1,000 penalty, plus 10 percent interest, on each of the 128 employees in question.

A hotel representative did not immediately respond to a request for comment.

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