‘I have a right to this money.’ Otium restaurant workers finally get paychecks, but some turn up short

Sep 30, 2024 at 8:09 PM

Otium's Downfall: Unpaid Wages and Broken Promises

The once-acclaimed Otium restaurant, co-owned by celebrity chef Timothy Hollingsworth and industry veteran Carl Schuster, has found itself embroiled in a controversy over unpaid wages to its former workers. Despite the restaurant's closure in September, the owners have faced backlash from employees who claim their final paychecks were short by hundreds, and in some cases, thousands of dollars.

Shattered Dreams and Broken Commitments

Unfulfilled Promises and Delayed Payments

After weeks of failing to pay their former workers their owed wages, the owners of the now-shuttered Otium restaurant finally distributed checks over the weekend. However, several workers have come forward, stating that their last paychecks were short by significant amounts. Maria Ramos Hernandez, a dishwasher who worked at Otium for seven years, claims the restaurant still owes her at least $2,000, including unpaid vacation time and her final day's wages.Hernandez's experience is not an isolated incident. Two other former Otium employees also reported that their checks were short, and they did not receive the late penalties associated with the delayed payments. The workers had previously picketed in front of the empty restaurant, demanding to be paid after weeks of going without their final checks.

A Sudden and Unexpected Closure

Otium's closure came as a surprise to many, as the restaurant had been a fixture in the Los Angeles dining scene for nine years. About a month before the restaurant's closure on September 8th, Otium announced on Instagram that it would be shutting down for good, citing financial difficulties as the reason for the decision.Otium had opened in 2015 with much fanfare, located in the airy building of the Broad museum complex. The restaurant was co-owned by celebrity chef Timothy Hollingsworth, who had previously served as the chef de cuisine at the renowned French Laundry. Hollingsworth's partners included Carl Schuster, a founding partner of Wolfgang Puck catering and the CEO and founder of Cast Iron Partners, as well as philanthropist Eli Broad and restaurant entrepreneur Bill Chait.

Conflicting Accounts and Unresolved Issues

On Friday afternoon, Otium announced on Instagram that it would start paying workers over the weekend, informing them that the final checks were available for pickup at the restaurant. However, the process has not been smooth sailing.Melissa Cristina Mendoza, a server who worked at Otium for eight years, said that when she went to pick up her check, she realized it was $600 short. When she confronted Schuster, who was distributing the checks, he directed her to speak with the general manager, who in turn referred her to human resources. Mendoza has yet to receive a response.In a statement, Hollingsworth deferred questions to Schuster, who is responsible for the payroll. Schuster acknowledged that only two employees had mentioned discrepancies in their checks, and he claimed to have reached out to the payroll service that morning to investigate the issue.Schuster also stated that they have yet to calculate the wait-time penalties owed to the workers and that they will distribute those checks at a later date, though he could not provide a specific timeline. He emphasized that their priority was to get the workers paid as soon as possible.

Ongoing Struggles and Unresolved Payments

The payments made over the weekend were in the form of bank checks from East West Bank. However, Hernandez, the dishwasher, faced further challenges when she attempted to cash her $1,723.12 check at one of the bank's branches. The teller refused to cash the check, stating that they could not verify the availability of funds.Hernandez expressed her frustration, saying, "They tell me they can't verify that there are funds. They are telling me to return. What is happening? I really need this money. I have a right to this money. I already worked for this money. And they owe me more money."The ongoing issues with the final paychecks and the delayed distribution of the wait-time penalties have left many former Otium employees feeling betrayed and uncertain about the resolution of their unpaid wages. As the restaurant's closure continues to reverberate through the Los Angeles dining community, the workers' struggle for fair compensation remains an unresolved and pressing concern.