Proposed Class Action Targets Live! Casino Philadelphia Over Dealer Pay During Mandatory Breaks

Live! Casino & Hotel Philadelphia stands accused of short-changing table games dealers by applying tipped minimum wages during mandatory breaks when gratuities could not be earned. Dealer Jannies Lan filed the proposed class-action lawsuit on November 9 in Pennsylvania federal court, alleging violations of state and federal wage laws through scheduling, tip-pooling, and inadequate employee notifications.

As reported by Casino.org, the suit forms the latest in a coordinated series. Seven Atlantic City casinos faced parallel claims in March, followed by Ocean Casino Resort in April. The same three law firms represent the plaintiffs in each case.

Break Time and Tip Credit Claims

Blackjack, roulette, and similar dealers work 80-minute stretches before mandatory 20-minute breaks away from the floor. Craps dealers, who perform more complex calculations, work 60-minute stretches before the same breaks. Employees cannot deal, earn tips directly, or leave the premises during these periods yet remain subject to recall.

The complaint calculates that dealers spend at least 20% of working hours unable to earn tips, rising to 25% for craps dealers. Live! Casino Philadelphia allegedly continued paying the reduced tipped rate for this time. "The time is not the dealer’s own time," the complaint states, noting the breaks primarily keep dealers mentally sharp and reduce casino errors.

Pennsylvania law restricts tip credits for periods when work does not generate tips. Lan, who began employment in July 2021, received a base wage of $7 per hour in two weeks of January 2024—below the state $7.25 minimum—when tip-credit conditions were not met.

Tip Pool Used for Casino Expenses

The suit further claims the casino improperly deducted from the collective tip pool to cover its own administrative costs. Up to five dealers each receive approximately $25 per night to count and redistribute tips from gaming tables. Rather than paying these counters directly, Live! allegedly funds the function from worker tips, violating wage requirements.

The action seeks unpaid minimum wages, overtime, misappropriated tips, damages, and legal costs on behalf of potentially hundreds of current and former dealers.