CBC Accuses Glowbal of Scamming Tips, Emad Yacoub Sues

Yesterday, the CBC released a segment where they went undercover at Black and Blue, one of the Glowbal Group restaurants, to investigate allegations of servers being forced to pay the restaurant a portion of their tips. The investigation began when a former employee filed a complaint with B.C.’s Employment Standards Branch against the restaurant group because she claimed a manager required her to hand over her tips at the end of the night. B.C. employment standards law states restaurants can’t use tip money for business expenses.

While CBC was undercover in the restaurant, they talked to a bar manager who claimed that “They tip us [the bar] out one per cent. They tip their busser out one per cent, and then 4.2% to be exact goes to the restaurant.” The bar manager ended up recanting this statement later on by saying he was “talking trash” and lied about what he said.

The owner of the Glowbal Collection, Emad Yacoub is upset by these allegations and claims that they are completely false. In a press release, Yacoub responds and fights back against these allegations:

On April 2, 2012, the CBC aired a story about tip disbursements that singled out The Glowbal Restaurant Group. However, the CBC’s Kathy Tomlinson report of allegations that question employment standards adherence and that tips are used for purposes other than what they are intended are categorically false and inaccurate.

“We are completely transparent with every member of our team in regards to our policies, procedures and daily practices surrounding tips,” says Emad Yacoub, CEO of The Glowbal Restaurant Group. “Simply put, our senior executive team does not take tips, and no money from the tip pool is used for business expenses. Operations and front-house managers, our kitchen and dishwashing teams, hostesses, bussers, food runners and bar staff do share in pooled funds in accordance to our policies. This is a standard practice in our industry and we believe this is fair. Our employees share the responsibility for ensuring guests have a positive experience in our restaurants. In return, they each share in the pride of that success and the generous thanks that our guests extend.”

“It is curious and unfortunate that Ms. Tomlinson and the CBC chose to air a story based on the false accusations of former employees. It is equally baffling as to why Ms. Tomlinson chose to focus on The Glowbal Group when the practice of pooling gratuities is an accepted standard in the hospitality sector in Canada.”

The Glowbal Restaurant Group and its CEO Emad Yacoub will file a lawsuit in BC Supreme Court against the CBC, CBC reporter Kathy Tomlinson and the former employees over unjustified defamatory allegations. The Glowbal Restaurant Group and Yacoub will be seeking general, aggravated, special and exemplary damages and legal costs, and a Court injunction requiring the CBC to remove all of the false allegations from its Internet website.

“I have been left with no option but to take legal action against the CBC and Ms. Tomlinson to redeem my reputation and that of my business,” says Yacoub. “We will continue to serve the city we love so much. Our priorities remain with our team and our guests, and we are thankful for their continued support.”

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7 Comments on “CBC Accuses Glowbal of Scamming Tips, Emad Yacoub Sues”

  1. Destructo-Bot
    April 3, 2012 at 5:34 pm #

    edam you slime ball!

  2. Bronwyn
    April 3, 2012 at 8:19 pm #

    There’s a lot more to this story. When it goes to court, people will know the truth: Emad is a liar and a crook. I know because the waitress in the story is my daughter and she’s got rock solid proof. I can’t wait to see Emad’s face in court!

  3. Speed oysters
    April 3, 2012 at 11:10 pm #

    Am I surprised – no… As a lifelong employee and employer. Overheads need to be met. Reaching into an employees pocket to cover managerial income through grat levels …..SOME do this. Ask the BFB whistler or ROH Yaletown. Global group has never been pristine in its operational mores from anything I have heard. = slime ball this is not right!

  4. Cruz
    April 17, 2012 at 8:43 pm #

    doesn’t surprise me the slime ball is trying to turn it so he looks like the victim…..all i have to say is karma will happen sooner or later

  5. April 27, 2012 at 2:33 pm #

    They need to look into Ovations catering(abbortsford, Dawson creek, Pentiction etc) they charge a 15% catering fee and keep it all. Douche bag american company, and the local councils for accepting the practice of robbing hard working people of the communities.

  6. Charlotte Zesati
    June 23, 2012 at 4:15 pm #

    Let’s not forget the extra $100+ the Captians are taking from every server every shift in addition to the so called “house charge fee”. How anyone can consider this illegal practice of taking servers gratuities fair or reasonable treatment is beyond me. All I know is I got all my money back from Glowbal Restaurant Group and Black and Blue which now runs under B.C. Ltd. through the Employment Standards Act.

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  1. CBC Accuses Yaletown’s Glowbal of Scamming Tips, Emad Yacoub Sues : @Yaletown - April 3, 2012

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