AG James Takes a Bite Out of Pizzeria Chain Over Alleged Wage Issues

  • New York AG Letitia James reached a settlement with corporate entities for three New York City-based Gotham Pizza restaurants and their owner Michael Shamailov to resolve allegations that Gotham Pizza failed to pay its employees the required minimum and overtime wages in violation of the Minimum Wage Order and New York labor laws.
  • According to the Assurance of Discontinuance, the AG’s office found that between 2016 and 2019, a number of Gotham Pizza employees were paid below minimum wage, never paid any overtime, and did not receive full tips. It also alleges that Gotham Pizza did not keep adequate payroll records for all employees and failed to give employees wage statements.
  • Under the terms of the Assurance of Discontinuance, Gotham Pizza will pay $175,000 to the state, as well as complying with all applicable federal, state and local laws concerning employment and wages, maintain required records for six years, and provide compliance reports.