Mount Airy Casino Resort in Monroe County, Pennsylvania, has reached a $2.3 million class-action settlement with nearly 700 dealers. The plaintiffs accused the casino of misappropriating employee tips, improper record-keeping of work hours, and miscalculating overtime pay, violating the federal Fair Labor Standards Act and state minimum wage laws. In plain terms, the employees accused the casino of tampering with tips and overtime calculations, and now the casino is paying to settle the disaster but does not admit any wrongdoing.
Core of the lawsuit: Misappropriation of tips and violations in work hour calculations
The lawsuit was filed in February 2025, accusing the casino in Paradise Township of pooling employee tips to share with supervisors, rounding work hours, and incorrectly calculating overtime pay. The initial claim exceeded $5 million, with a look-back period of three years. On February 24, U.S. District Court Judge Joseph Saportito approved the settlement agreement, deeming the $2.3 million to be "fair, reasonable, and adequate," covering over 98% of the unpaid wages involved. The settlement agreement does not include an admission of wrongdoing by the casino.
Compensation details: An average of $2,100 per person, with two initiators receiving $10,000 each
The settlement covers all employees whose tips were deducted (i.e., direct cash wages below $7.24 per hour) from February 7, 2022, to May 8, 2025. The average net compensation for each affected employee is expected to exceed $2,100, with eight employees receiving a minimum of $100 each. Two former employees, Jennifer Mark and William Nidig, who "actively participated in the case investigation, prosecution, and settlement, and took on reputational risks," each received a $10,000 service award. Interested in the latest cases of labor disputes in the U.S. gaming industry? PASA official website continues to track.
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