While Lee knows little about the potential buyers, he did give them some advice: "I told them not to change anything, keep it as is. The whole process with the state's Department of Alcohol Beverage Control, SFPD's alcohol unit and escrow should take a few months, Lee says, so the changeover isn't necessarily set in stone. They've stopped in a few times and continue to be interested, so paperwork has begun to transfer the liquor license. In September, he enlisted with a brokerage firm that brought in a group of potential buyers, whom he declined to name. Lee says he's still "pissed off" about the suit, which he believes was meant to hurt him, and has decided to move on.
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O ver the past 18 years, he said, he has tried to pay his employees well, noting that one longstanding bartender began making $14/hour seven years ago and two others had received $12/hour for the past five years (before the minimum wage increased above that level last May). "I'm not a cheap man," he said, noting that he would have resolved the pay issue with the employee who sued, had he approached him about it directly. Lee insists the errors were unintentional. Using that information, investigators found that at least one of his employees had not been bumped up to $12.25 when the minimum wage rose on May 1st, 2015, and that his shift schedule did not allow for half-hour breaks, resulting in more fees and the need to alter bartenders' schedules. Lee was also forced to hand over all of his pay documentation. Had the employee come to him directly with the issue, the bill would have been only $2,500, he said. (He was incorrect: California is one of only a few states that does not have a tip credit, which allows employers to pay employees a reduced hourly wage provided their tips add up to the minimum.)Īs a result, the employee won the suit, and Lee was forced to pay $7,400 in back wages and city fees for the investigation. At the time, Lee's understanding was that since bartenders make tips, he did not have to pay the man minimum wage, he said. However, a legal dispute with a former employee has left him with hefty fines and lots of anger, he said, so he's selling the bar earlier than planned.Īccording to Lee, one of the Gangway's bartenders filed a suit last year with the city and county of SF, alleging that Lee did not pay him the minimum wage that he was owed ($10.24/hr at the time).
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Lee, a truck driver for 35 years, was planning to sell the bar next year, when his daughter is set to graduate from college. Jung Lee, who has owned the historic bar for 18 years, says he is in the process of selling the Gangway, one year earlier than he'd originally planned.įive years ago, Lee's wife, who ran the bar, died of ovarian cancer, leaving him in charge.
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Over its long history, it's changed hands and names many times, and the latest switchover could be completed in just a few months. The 104-year-old Gangway on Larkin Street is San Francisco's oldest gay bar.