The hospitality workers' union UNITE HERE Local 1 on Monday filed a federal lawsuit against the owners of Chicago's Signature Room restaurant, alleging they violated the Worker Adjustment and Retraining Notification Act by failing to give proper notice of the establishment's closure, according to the union.
The lawsuit filed in U.S. District Court alleged the 132 restaurant employees represented by the union didn't receive a 60-day written notice of any closing or mass-layoff, which is required under the WARN Act - a federal labor law. Under the Act, an employer must provide employees with any wages paid for the period of the violation, up to 60 days, as well as premiums for health benefits, pension plan contributions and other benefits.
The Signature Room, the fine-dining institution on the 95th and 96th floors of the former John Hancock Center, suddenly closed on Thursday, citing "severe economic hardship." In a memo to employees, management revealed new lease terms couldn't be successfully renegotiated with their landlord, saying they were "extremely disappointed."
In a statement, Karen Kent, president of UNITE HERE Local 1 said the union will "pursue every avenue to ensure Signature Room workers see justice serve," saying what the restaurant has done to workers is a "disgrace."
"This restaurant is iconic not just for its views but because of the hard-working staff, many of whom dedicated decades of their lives to this place," Kent added in the statement. "For the Signature Room operator to jettison these workers overnight is both immoral and illegal. The decimation of the Signature Room extends far beyond personal memories – it is a devastation to the families, futures, and lives of these restaurant workers."
Kent's full statement is posted below:
“What the Signature Room has done to these one hundred and thirty-two restaurant workers is a disgrace and shows a complete disregard for the working people who cooked, served, and welcomed Chicagoans and the world. This restaurant is iconic not just for its views but because of the hard-working staff, many of whom dedicated decades of their lives to this place. For the Signature Room operator to jettison these workers overnight is both immoral and illegal. The decimation of the Signature Room extends far beyond personal memories – it is a devastation to the families, futures, and lives of these restaurant workers. We will pursue every avenue to ensure Signature Room workers see justice served."
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