Curaleaf Wage Theft: After being sued for wage theft violations, , Curaleaf Announces Store Closures

January 30, 2023 - Tip-pooling, Wage Theft

Curaleaf wage theft has been at issue in several recently filed lawsuits against Curaleaf Holdings. In a recent Illinois case, Curaleaf was accused of tip theft. Tips at Curaleaf were generated when customers told sales associates to “keep the change” after a transaction. A tip jar was also placed near the register. Rather than distributing tips evenly to all employees, tips were allegedly confiscated by management and not distributed to hourly employees. This allegedly resulted in tip theft by management of $350 – $600 per day at just one location. These dispensaries can be open seven (7) days per week. Curaleaft operates 147 dispensaries in 19 states; according to allegations of a lawsuit filed in Illinois, tip theft occurred at several locations.

Not surprisingly, Massachusetts- based Curaleaf is now closing its stores in California, Oregon, and Colorado (three of the busiest cannabis states). Curaleaf closures were conveniently blamed on the amount of illicit cannabis sold in California, Oregon, and Colorado and what Curaleaf claimed was a lack of enforcement of the illicit market in this jurisdiction.

TIPS BELONG TO THE EMPLOYEE. Any diversion of tips from the employee to management is illegal.

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