A spokeswoman for Sweetgreen responded to the criticism with an announcement to The Washington Publish: “At Sweetgreen, we are committed to diversity as well as a safe and inclusive workplace. We take these accusations seriously and do not tolerate any form of harassment, discrimination, or unsafe working conditions. We are unable to comment further on any pending legal matters.”
Co-founders Nicolas Jammet, Nathaniel Ru and Jonathan Neman — then a trio of younger graduates from Georgetown College — opened their first location in 2007 in a former burger store within the Georgetown neighborhood. It was their try to offer a substitute for the junk meals and quick meals that dominated on the time. Their idea, targeted on freshly made salads with native produce, would go on to turn into the darling of the fast-casual business, spawning dozens of areas across the nation, together with outlets in California, Texas, Colorado, Georgia, Wisconsin, Florida, Illinois and different states.
Sweetgreen, which relies in Los Angeles, went public in November 2021, elevating $364 million in its preliminary public providing. In an interview with CNBC’s “Squawk Box” on the time of the IPO, Neman mentioned that “over time, we want to build a massive, global, iconic food brand. We like to say we want to build the McDonald’s of our generation.”
The corporate has had different controversies over time. Through the pandemic, Neman wrote a LinkedIn submit, suggesting that weight problems is the “root cause” of American well being issues, together with coronavirus infections. He advised outlawing junk meals.
“[Seventy-eight percent] of hospitalizations due to COVID are Obese and Overweight people. Is there an underlying problem that perhaps we have not given enough attention to?” he wrote within the submit, which he later took down.
Thursday’s lawsuit alleges that a number of Sweetgreen shops in New York — the criticism targeted totally on three: shops in Midtown East, the Monetary District and the Meatpacking District — had been discriminating towards and harassing Black employees. The go well with consists of quite a few allegations during which Hispanic managers and employees used racial slurs and stereotypes to demean Black staff and even clients. Among the many slurs alleged are “monkeys,” “bums,” “lazy,” “gorilla” and the common use of the n-word.
“For example,” the lawsuit alleges about Hispanic employees in a Sweetgreen retailer within the Meatpacking District, “they would say about a Black employee, ‘This monkey don’t know how to toss the salad correctly.’”
One other plaintiff, who labored in a store within the Monetary District, claims she overheard a Hispanic supervisor and two staff, who had been speaking about alternatives for promotion at Sweetgreen: “These [n-word] think they’re going to move up. They’re not.”
A unique plaintiff, who additionally labored on the store within the Monetary District, alleges that he was having a heated dialogue with an worker when a Hispanic employee approached and allegedly mentioned, “Someday somebody is going to f— you up, because you need to get f—– up.” When the plaintiff tried to complain to his Hispanic supervisor, the supervisor allegedly mentioned, “Nobody’s perfect.”
One other plaintiff who labored within the Meatpacking District store allegedly overheard a Hispanic worker berate a Black co-worker, calling him a “stupid little black boy” in Spanish.
The plaintiffs additionally alleged they had been subjected to double requirements: Black staff, they declare, is likely to be written up for points that Hispanic employees acquired away with, similar to not carrying identify tags or for calling out sick though they adopted firm protocols. One plaintiff on the store within the Meatpacking District claims managers allowed Hispanic staff to eat and chill out whereas on the clock however not Black employees.
Black staff alleged they’d generally attempt to complain to administration or human sources however would have their issues brushed apart or ignored. They declare Hispanic employees who used racial slurs and insulting language wouldn’t be disciplined. Typically, the Black staff allege, their Hispanic counterparts would as an alternative be promoted over them or given preferential shifts. A plaintiff from the Monetary District store, who was not promoted as allegedly promised, accuses their supervisor of claiming, “Hispanic people work harder than Black people.”
The lawsuit additionally alleges the final managers on the Midtown East and Monetary District eating places fostered a sexually charged office during which some feminine employees didn’t really feel snug. The managers would make inappropriate feedback or contact feminine staff inappropriately, in accordance with the lawsuit.
The plaintiffs on this case are represented by Arenson, Dittmar & Karban, an employment litigation agency that makes a speciality of discrimination and harassment within the office. One of many agency’s largest circumstances was a wage theft lawsuit during which greater than 100 car-wash staff finally cut up $8.5 million, a determine that the New York Occasions referred to as a “spectacular sum for a wage theft case.”
In its newest monetary assertion, Sweetgreen reported whole income of $152.5 million for the second quarter of fiscal yr 2o23, a 22 p.c improve over the identical interval in 2022. The corporate additionally posted a web loss for the quarter of $27.3 million.
