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Thread: Spearmint Rhino Must Stop Charging Fees

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    Default Spearmint Rhino Must Stop Charging Fees

    Last week, strippers employed by the Spearmint Rhino chain won an unprecedented $13 million settlement in Federal court, the result of a class action suit to restore back wages and contest their status as independent contractors of the clubs. Deciding in the dancers' favor is U.S. District Court Judge Virginia Phillips, best known for ruling "Don't Ask, Don't Tell" unconstitutional in 2010. It's one of the largest financial settlements awarded to dancers at a major chain in the United States—with 20 locations worldwide, and though Spearmint Rhino would not release this information, it's fair to estimate with several hundred if not several thousand dancers working in their clubs in the United States. In sex workers' ongoing fight for the same rights on the job that any worker should expect, will the dancers' case be a tipping point in the strip club business? "Spearmint Rhino is a big brand." says Bubbles Burbujas, a stripper and one of the co-founders of the popular sex work blog Tits and Sass. "There's no way this won't have an effect."

    It's definitely a big win for the 14 dancers named in the suit, but also for dancers in California. Judge Phillips ruled that within 30 days Spearmint Rhino must stop charging dancers what are known as "stage fees" for the right to work. Phillips also ruled that the chain is required to grant all dancers in their clubs employee status within six months, ending the illegal practice of classifying dancers as independent contractors while also placing workplace demands on them that far exceed that legal status. By managing dancers like employees but putting them on the books as independent contractors, club owners get out of paying dancers the benefits they're legally entitled to, which could include worker's compensation, unemployment, and health insurance if they qualify. Owners and management alike tell dancers they're independent, but they still exercise control over dancers on the job, routinely using the kinds of restrictive rules on breaks and conduct you've come to expect of Wal-Mart, not the mythically "anything goes" world of sex work.
    http://www.theatlantic.com/sexes/arc...ppers/265376/#

    Whole new ballgame! I prefer being an independent contractor. I just want my freedom back! I don't want to be treated to ridiculous scheduling restrictions and practically held hostage and paying for the fucking privilege. Wish I had a piece of that settlement.
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    Default Re: Spearmint Rhino Must Stop Charging Fees

    I was at Spearmint Rhino a few days ago, and now they are charging "dance room fees" instead. So, you can work for free, but you can't give dances without paying the fee.

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    Quote Originally Posted by Tsepmet1 View Post
    I was at Spearmint Rhino a few days ago, and now they are charging "dance room fees" instead. So, you can work for free, but you can't give dances without paying the fee.
    WOW! It was only a matter of time where they would find a way around that. In Syracuse, girls get paid minimum wage, no house fee but pay $20 everytime they enter the private room with a new client for just a lap dance. In end, clubs make out better this way than charging a house fee.

    But yes, I want my freedom back in terms of no scheduling and shift minimum after check in.
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    Default Re: Spearmint Rhino Must Stop Charging Fees

    Quote Originally Posted by Tsepmet1 View Post
    I was at Spearmint Rhino a few days ago, and now they are charging "dance room fees" instead. So, you can work for free, but you can't give dances without paying the fee.
    WOW! It was only a matter of time where they would find a way around that. In Syracuse, girls get paid minimum wage, no house fee but pay $20 everytime they enter the private room with a new client for just a lap dance. In end, clubs make out better this way than charging a house fee.

    But yes, I want my freedom back in terms of no scheduling and shift minimum after check in.
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    Default Re: Spearmint Rhino Must Stop Charging Fees

    BTW - Great Blog !!

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    From a pragmatic standpoint, this court ruling is about gov't being able to collect social security, unemployment, disability and worker's comp insurance premiums from the clubowners ... about gov't having an officially documented record of dancer earnings which can be fully taxed etc.

    In regard to scheduling restrictions, on top of rigidly scheduled shifts SR dancers can also probably count on being limited to 28 scheduled hours per week. As 'employees', after the first of the year, working more hours would force the clubowner to either provide health insurance coverage for dancers or pay a new IRS 'fine'.

    Agreed that this is a game changer ... a game where all dancers except the 14 girls named in the suit will ultimately be the losers IMHO. There's also a fair chance that cash strapped state gov'ts will push their state DOL's and state income tax agencies to try and expand this court ruling's legal interpretation of the 'employee' work status of dancers to other clubs beyond SR.

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    Deja Vu is screwed; they've already settled several similar cases, and have waaay more clubs in the US - primarily in states likely to follow CA - than anyone, PLUS the Little Darling's, Cover Girl's, and Hustler clubs with the same owner.

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    ^^^ you're very possibly correct, Almost Jaded. In the past, to the best of my knowledge at least, every 'employee' work status lawsuit brought against a major strip club chain has A. been limited to a single state or local court, B. has been limited to a single club or local group of clubs under common ownership, and C. been settled without going so far as a judge actually issuing a ruling. As such, the only club(s) affected by past 'employee' work status lawsuits were the specific clubs listed in the lawsuits.

    In contrast, this latest 'employee' work status lawsuit was filed in a US Federal Court for the 9th circuit ... which has direct jurisdiction over central California and circuit jurisdiction over the states of California, Nevada. Arizona, Oregon, Washington, Idaho etc. The US Federal Court also 'extended' it's jurisdiction in this lawsuit to cover clubs in other parts of the country ( i.e. Kentucky, Texas, Florida etc. ) based on common 'ownership' of the clubs and common 'violations' by the clubs. And while technically still a settlement, this latest 'employee' work status lawsuit was allowed to proceed to the point where the legal technicalities behind the settlement were published ... i.e. violations of specific sections of California, Nevada etc. Labor Codes, violations of specific sections of ERISA and specific state labor laws, and issuance of specific injunctive relief by the court ... which can potentially used as precedents. And this will particularly be the case for central California, which falls directly under the same court jurisdiction.

    Again, I don't want to cause anyone undue concern. However, the California state DOL has already ruled that dancers are 'statutory employees' ( although they lacked the jurisdiction to do anything re direct enforcement ). And, needless to say, the state of California present state of gov't finances provides an extremely strong incentive for the Cal Franchise Tax Board to get as many California clubs as possible to start treating dancers as 'employees' ... which will mean fully reported dancer incomes thus fully paid California state income taxes, on top of the 'new' payments by California clubowners to the state's unemployment fund, worker's comp fund etc. So yes it wouldn't come as any big surprise if the Cal DOL and Franchise Tax Board will try to use the precedential nature of this lawsuit to try and expand 'employee' treatment of dancers to DejaVu and other California chain clubs.
    Last edited by Melonie; 11-24-2012 at 05:32 AM.

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    Fuck the government responses - whatever they do, they'll do. But now lawyers and union leaders all over the country smell blood and money. There is now a legal precedent IN A FEDERAL COURT. This is going to have HUGE ramifications to the industry nationwide; law firms are going to be all over it, and many clubs are going to start changing their policies ahead of court rulings in order to avoid lawsuits. And as soon as dancers all over are granted employee status, union leaders are gonna be all over it to get them together to prevent club owners from limiting hours and enforcing minimum wages, etc. The industry is going to change FAST now, for better or for worse. One POSITIVE outcome will be the way dancers re treated by management; once granted employee status, sexual harassment becomes a WHOLE different animal...

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    Any of the California dancers on this board who work at the Rhino know??? I'm seriously concerned.
    You'll probably find out if / when California clubowners start implementing changes after the first of the year. These changes should be fairly obvious, starting with a weekly paycheck from the club for tipped minimum wage, 'shared' stage tips, percentage payouts for private dances performed, social security / unemployment / worker's comp payments withheld, estimated federal and state taxes withheld etc. The actual change might take yet another year i.e. January 2014 instead of January 2013 ( the judge's injunctive relief ruling gave SR 6 months to comply ), but the 'wheels' have definitely been set in motion.


    There is now a legal precedent IN A FEDERAL COURT. This is going to have HUGE ramifications to the industry nationwide; law firms are going to be all over it, and many clubs are going to start changing their policies ahead of court rulings in order to avoid lawsuits. And as soon as dancers all over are granted employee status, union leaders are gonna be all over it to get them together to prevent club owners from limiting hours and enforcing minimum wages, etc. The industry is going to change FAST now, for better or for worse.
    Agreed this opens the door for huge changes in the exotic dancing industry. How extensive those changes will be, and how quickly they happen, remains to be seen. However, one fact is inescapable. Treating exotic dancers as 'employees' will divert strip club customer money toward the payment of new unemployment / worker's comp / social security / federal and state taxes etc. which are not paid ( or are underpaid ) today. Assuming that clubowners will be unable / unwilling to sacrifice their own profit margins, this will automatically mean lower net earnings for exotic dancers.


    Does anyone know if the employee thing is mandatory? I thought they were going to give dancer's an option to remain IC vs becoming an employee
    Given the California judge's rulings in regard to this settlement, combined with previous California DOL rulings that California dancers are 'statutory employees', it would appear that no independent contractor option will be allowed in California at least. Again, it remains to be seen whether / how quickly the 'fallout' from the SR case spreads beyond SR clubs.

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    I've spoken to a few dancers and read a lot of reaction to this decision and the consensus is that it will be a Pyrrhic victory with a lot of negative consequences for dancers. Melonie has just hit the highlights.

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    ^ This has been going on in Mass clubs for a few years now. At least two, maybe three lawsuits have been settled with the results being damages awarded to the dancers (all retired) involved but long-term negative impact on the girls who are currently trying to make a living. Many clubs now have the girls on the books and have raised the house cut of LD's in order to make up for the additional expenses involved in doing that. House fees have NOT gone away they have just been given different names. Some owners are "playing favorites" by leaving some of their long-time high earners off the books unless or until folks from Mass Department of Revenue show up asking questions. I've yet to meet a dancer in Mass who is happy about the changes.
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    Default Re: Spearmint Rhino Must Stop Charging Fees

    ^All true and on point - EXCEPT - that those settlement, like many before them in many other states, happened prior to any rulings. This is the first time a federal judge has issued an opinion and ruling "on the books"; and that is HUGE. This is why I say - there is now blood in the water. Until now, the sharks have had limited incentive to approach the industry. With a federal precedent, law firms across the country are already putting things in motion, I promise you.

    As far as the lasting, negative effects - well, that's where unionization comes in. Efforts to corral adult workers and especially strippers into collective bargaining has rarely gone anywhere, much less gone well. However, with the club owners inevitable reaction being to screw the dancers to keep their own revenue up, collective bargaining becomes the only chip left to play. In the short and mid term, I see dancers getting the short end BIG time. In the long run; club owners are going to have to deal with the harsh reality of running their businesses like BUSINESSES, and the dancers will do alright. Once you're an employee, cases against your employer carry much more weight and are much easier to bring. It won't take long for the girls - and the ever money hungry lawyers - to figure that out.

    And on a related and darkly comical note - FedEx drivers reading this must be PISSED! LMAO!

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    Quote Originally Posted by Almost Jaded View Post
    ^All true and on point - EXCEPT - that those settlement, like many before them in many other states, happened prior to any rulings. This is the first time a federal judge has issued an opinion and ruling "on the books"; and that is HUGE. This is why I say - there is now blood in the water. Until now, the sharks have had limited incentive to approach the industry. With a federal precedent, law firms across the country are already putting things in motion, I promise you.
    LOL, it sounds like you are predicting shady lawyers sitting at the back of the bar in strip clubs trying to convince dancers to file lawsuits against their clubs. I guess this is possible but I still see the vast majority of dancers as being smart enough to know that employee status is not their friend. As more girls who have been through it talk to girls who haven't I see the negative aspects being reinforced. Who knows, I guess anything can, and in some cases, will happen
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    Default Re: Spearmint Rhino Must Stop Charging Fees

    Oh heavens no, Yoda. Not remotely. More like, TV ads similar to the ones you see for people who took such-and-such drug and had so-and-so side effects. They'll file the suit on the basis of the court precedent, THEN troll for complainants. Ever get a letter saying that if you do NOT wish to participate; respond - but if you DO - do nothing? NOW WE'RE TALKING. I never said it was "good" for the dancers. IF things go the right way - with the worker's participation and informed action - it COULD ultimately benefit them in many ways. However, the single biggest obstacle is going to be the ability to make the new costs and provisions the club owner's problem, and not have it taken out of the dancer's income almost entirely. Collective bargaining will be key - necessary, even - to making this happen.

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    Like I have mentioned before I have been both an independent contractor and an employee and I far prefer being IC. The main reason is with this generally speaking if you are a hustler you will see your work pay off, whereas often being an employee you might end up making the same as a dancer who doesn't hustle. This of course takes the incentive to hustle because why work hard if you'll just make the same as a lazy dancer?

    However, there are many things that do need to be cleaned up in the industry and that is when a club hires a dancer as an IC but still regulates them, such as when they can take breaks, how often they work and when and everything else. Some clubs have always charged way too much for house fees then on top of it have so many other ways to charge dancers.

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    This is not good, those girls probably don't even dance
    Last edited by gingersnap; 06-06-2013 at 12:07 AM.

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    Quote Originally Posted by Optimist View Post

    Whole new ballgame! I prefer being an independent contractor. I just want my freedom back! I don't want to be treated to ridiculous scheduling restrictions and practically held hostage and paying for the fucking privilege.
    Why can't the clubs just give us a choice? We can pay a flat fee of $20 or 10% of shift earnings to the house at the end of the shift. If they overhire the percentage will be low. If they use common sense and don't overflood the market, they will make $ because the custy will view the commodity as valueable. They can use that money to pay the bouncers, dj, housemom etc. Plus they are charging for drinks and entrance fees. The custy can pay for entrance fees to get dances in vip if he chooses to do so.
    They could offer a shift wage of $50 to each of the first 10 girls to show up and let them keep their earnings for working at an undesireable scheduled time.
    I don't understand all of the uneccessary drama. Other types of bars have to pay all of their employees and if they don't succeed, they have to figure it out. That's business.
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    Default Re: Spearmint Rhino Must Stop Charging Fees

    The first part is unrealistic (from the clubs current perspective) insofar as they collect MUCH MUCH more than that as it is. The last bit re other types of bars, etc - is spot on. Very few strip clubs are run like businesses. Hopefully, if nothing else, these rulings will force them to do THAT much at least.

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    I'm sick of these fucken stupid girls ruining for us money makers! Fuck I pay over 1000 to travel out and work every trip plus over 100 to work nightly! If you cannot afford to do this and make a profit get the fuck out of the busness. These idiot girls end up with like 1000 for theses class action suits and ruin it for us money makers with more restrictions and higher house fees on us in the long run!

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    Quote Originally Posted by michele11 View Post
    I'm sick of these fucken stupid girls ruining for us money makers! Fuck I pay over 1000 to travel out and work every trip plus over 100 to work nightly! If you cannot afford to do this and make a profit get the fuck out of the busness. These idiot girls end up with like 1000 for theses class action suits and ruin it for us money makers with more restrictions and higher house fees on us in the long run!
    I can see their side of it only on the subject of being treated better by our "employers". Then again, I can also see their side on why the clubs charge us so much for no damn reason.

    I cannot see why the hell they would sue for wages since we already make so much in tips. For the traveling dancer, this is an incredibly frustrating situation, as it would essentially tie us down to a single club, therefore technically putting us out of (our normal) business.

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    Quote Originally Posted by gingersnap View Post
    This is not good, those girls probably don't even dance anymore. I would like to know those of you who have worked with this change what have you noticed? Are they firing girls, cutting shifts, not hiring etc? So now maybe all the dirty crap going on more on the floor instead of the rooms. Why did they not even mention the risk of being fired for going to another club when we pay them? What if you cant even sell a room, do they get mad and not give you certain shifts?
    a club near me has gone to paying their girls as reg. employees. they make you pay out 100 a shift tho, and no they do not hire a lot like other clubs, no walk-ins, etc. its also incredibly expensive and strict

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    Quote Originally Posted by Tsepmet1 View Post
    I can see their side of it only on the subject of being treated better by our "employers". Then again, I can also see their side on why the clubs charge us so much for no damn reason.

    I cannot see why the hell they would sue for wages since we already make so much in tips. For the traveling dancer, this is an incredibly frustrating situation, as it would essentially tie us down to a single club, therefore technically putting us out of (our normal) business.
    This particular job with in the sex industry, is not an easy job. You do have to be serious and very smart. Let's also face the fact that some club owners way less sleezy and more logical than the really bad super immoral owners.
    It's like selling cars - anyone can get a job doing it, but very few are willing to make the effort to learn how to sell with confidence. But, if you get a job selling cars, you don't lose money out of your own pocket; you are just poor. If girls did not lose $ out of their own pocket and paid 10% of ACTUAL earnings as their ONLY fee, then I don't think any judge or jury would consider that to be terribly abusive. The bad sales people would be cut out anyways because no one can live on... let's say $18 or less a day. As it stands now, the really abusive club owners are so out of control, hence the law suits.
    Last edited by sasee; 11-28-2012 at 12:57 AM.
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    Default Re: Spearmint Rhino Must Stop Charging Fees

    Quote Originally Posted by sasee View Post
    This particular job with in the sex industry, is not an easy job. You do have to be serious and very smart. Let's also face the fact that some club owners way less sleezy and more logical than the really bad super immoral owners.
    It's like selling cars - anyone can get a job doing it, but very few are willing to make the effort to learn how to sell with confidence. But, if you get a job selling cars, you don't lose money out of your own pocket; you are just poor. If girls did not lose $ out of their own pocket and paid 10% of ACTUAL earnings as their ONLY fee, then I don't think any judge or jury would consider that to be terribly abusive. The bad sales people would be cut out anyways because no one can live on... let's say $18 or less a day. As it stands now, the really abusive club owners are so out of control, hence the law suits.
    I agree that there are abusive owners/managers. I don't think these lawsuits would have ever even happened if they just treated us better. However, we all know that they're not going to, even with all of these lawsuits. They'll be abrasive and they'll get their money, and that's all there is to it. In my opinion, these lawsuits are going to make matters worse, as these were already uncomfortable situations to begin with.

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    Default Re: Spearmint Rhino Must Stop Charging Fees

    As I hypothesized earlier and will do so again now - you are correct; in the short term. They WILL get their money and be just as bad. It WILL be worse at first. That also happened to coal and other miners, steel workers, auto workers, and pretty much every other group ever to get screwed over until they got together, took advantage of the laws in this country that allow them to negotiate as a group, and FIXED it. Every one of those labor groups now have the parent corporations more or less over a barrel to a greater or lesser degree; and if adult workers - especially strippers - are smart about it, they will, too.

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