Press Release  AG Campbell Announces $6.8 Million Settlement With MGM Springfield For Wage And Hour Violations

SPRINGFIELD — Following a multi-year investigation, the Attorney General’s Office has reached a settlement with MGM Springfield totaling $6,839,287 in the form of restitution and penalties for wage and hour violations. 

The full range of wage and hour violations by MGM Springfield includes failure to pay minimum wage to tipped employees, failure to pay overtime wages, unlawful tip retention by management, failure to make timely payments of wages, and failure to provide paid earned sick time.

“MGM Springfield’s failure to provide its employees, especially service workers earning an hourly wage and relying on tips, with their full wages and benefits made it more difficult for these employees to take care of themselves and their families,” said AG Campbell. “My office will continue to hold accountable those who violate our wage and hour laws.” 

In October of 2018, the Fair Labor Division of the Attorney General’s Office began receiving complaints from MGM employees about violations that included managers illegally participating in wait staff tip-pooling, MGM underpaying service-rate employees for their overtime hours, and the company requiring security guards to work through their meal breaks without compensation. 

The 2,036 impacted workers span much of the MGM Springfield operation, and most were service employees earning hourly wages. This includes table game dealers, banquet servers, bartenders, ushers, kitchen staff, casino floor and hotel staff, warehouse personnel, cleaners, and security guards. 

Pursuant to the settlement MGM will implement a compliance program, to be carried out by an independent compliance reviewer retained by MGM and approved of by AGO. The program will include regular trainings of relevant staff on wage and hour compliance, and two annual wage and hour audits to be conducted by a third party. The third party auditor will submit audit findings to AGO for review. 

This matter was handled by Supervising Investigator Jennifer Pak and Assistant Attorney General Drew Cahill, with assistance from Supervising Investigator Yolanda O’Shea and Investigator Christina Proietti, all of AG Campbell’s Fair Labor Division. 

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