A veteran Subway employee in Los Angeles has filed a landmark lawsuit against the sandwich chain and its parent company, Doctor's Associates, alleging systematic wage theft and discriminatory practices spanning more than a decade.
Eva Rodriguez, who claims she regularly worked over 100 hours weekly without overtime pay, has accused her employer of denying breaks, requiring off-the-clock work, and manipulating time records. The lawsuit alleges that during the COVID-19 pandemic, she received only half pay for eight to nine-hour shifts.
The legal action gained momentum after Rodriguez connected with the California Fast Food Workers Union, an SEIU subsidiary, which helped her understand her rights under state and federal labour laws.
Rodriguez said she initiated legal proceedings after facing threats regarding her immigration status when she filed a workers' compensation claim. "She threatened me with my immigration status, and made me feel really, really scared. That's why I initially retracted that claim," Rodriguez said.
The lawsuit notably names Doctor's Associates, Subway's parent company, as a joint employer, arguing that the company maintains control over wages, hours, and working conditions. Rodriguez claims Subway frequently monitors store operations, saying: “They manage everything from the top down; they're the ones managing how we make sandwiches, the prices.”
The case highlights alleged discriminatory practices against immigrant workers, with Rodriguez claiming the franchisee provided sick leave to US-born workers while denying it to immigrants.
“Everybody just thought this was normal," she said, until union organisers informed her of the illegal nature of these practices.
According to the lawsuit, management routinely altered employee time records in Subway's computer system, resulting in paychecks showing fewer hours than actually worked. Rodriguez said that since confronting her employer, she has seen her working hours reduced.
The legal action comes amid increasing scrutiny of wage theft in the fast-food industry. The Service Employees International Union (SEIU) and its affiliates are targeting major restaurant brands over similar allegations, including a recent Department of Labor complaint against Waffle House.
The case could have broader implications for the franchise industry, where the International Franchise Association has prioritised defending loose joint employer rules. The threat of strengthened joint employer provisions in California was a key factor in the recent $20 fast food minimum wage compromise.