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NY’s 'DQ Sisters' faced a $6M labor lawsuit they feared would ‘destroy’ them — now, their fight may protect other owners
Yahoo Finance· 2025-10-23 21:45
Core Insights - The article discusses the legal challenges faced by a small business, specifically the "DQ Sisters," due to a lawsuit related to New York State's Frequency of Pay law, which mandates weekly pay for manual workers [1][4][5] Group 1: Legal Challenges - The lawsuit originated from a former employee's claims regarding overtime and other labor-related issues, which escalated into a class action suit, resulting in a $6 million legal challenge for the sisters [1][2] - The sisters were unaware of the Frequency of Pay law, which led them to pay employees biweekly, a practice that was not flagged by their payroll company or during state audits [4][5] - Ultimately, the sisters settled the lawsuit for $450,000, but after legal fees, former employees received only about $200 each [5][7] Group 2: Community Support and Response - Following the lawsuit, the DQ Sisters received significant community support, including a GoFundMe campaign that raised over $55,000, highlighting their reputation for caring for employees [8][13] - The sisters have taken proactive steps to protect other small business owners by working with state lawmakers to amend the law, ensuring that businesses paying biweekly would only owe interest on late wages [6][7] Group 3: Business Philosophy and Employee Relations - The DQ Sisters are known for their commitment to their employees, often providing support during personal crises and fostering a family-like atmosphere within their business [3][8] - They have a history of hiring individuals with challenging backgrounds, demonstrating a belief in second chances and community upliftment [3][8]