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November 28, 2009

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Union sues Sands over severance

Thursday, May 8, 1997 | 11:59 a.m.

SUN STAFF REPORTS

The Culinary Union has sued the Sands for the second time over the severance packages members were given when the hotel-casino closed last summer.

The union accused the Sands of violating the Worker Adjustment and Retraining Notification Act when it failed to include tips in the severance packages and did not give 60-day notice of its closure.

The outcome of this case and the first one, filed in August, may set a legal precedent as to whether the federal act applies to tips.

The first lawsuit affected 1,500 former employees and Wednesday's suit said it represented another 1,000 casino workers.

Sands attorney Howard Cole had not received a copy of the lawsuit and could not comment on the allegations. However, he said, the casino maintains that its severance packages complied with federal and state laws.

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