Sly Fox Brewing Ordered to Pay Nearly $200K for Withholding Tips: What It Means for the Craft Beer Industry

In a story that’s sending ripples through Pennsylvania’s craft beer scene, Sly Fox Brewing, a well-known name with a strong local following, has been ordered to pay nearly $200,000 in back wages, damages, and penalties. This decision comes after an investigation by the U.S. Department of Labor (DOL) found the brewery in violation of federal wage laws.

Let’s dive into what happened, why it matters, and what it says about supporting fair practices in the restaurant and craft beer industry.

What Happened at Sly Fox Brewing?

The Department of Labor’s Wage and Hour Division discovered that two Sly Fox locations in Pittsburgh—the Taphouse at Point State Park (300 Liberty Avenue) and the Highline Brewery (46 S. 4th Street) — violated the Fair Labor Standards Act (FLSA). Specifically, they allowed managers to participate in the tip pool, a clear no-go under federal law.

For restaurant and brewery workers who rely on tips as a vital part of their income, this is more than just a policy violation—it’s a significant financial hit.

The Breakdown of Penalties:

• Back wages recovered: $84,710
• Liquidated damages: $84,710
• Civil penalties: $15,435

In total, the brewery was required to pay $184,855 to rectify the situation.

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Why This Matters

Craft beer is a community-driven industry, built on passion, creativity, and collaboration. But like any business, it must also adhere to fair labor practices.

“Restaurant workers often make low wages and depend on every dollar earned, including tips, to help support themselves and their families,” said John DuMont, the Wage and Hour District Director in Pittsburgh. His sentiment highlights the importance of respecting the hardworking people behind the scenes.

Whether you’re pouring pints, running food, or cleaning up after hours, every role contributes to the experience we beer lovers enjoy. Ensuring fair wages and proper treatment is essential for a thriving industry.

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What Does This Mean for the Craft Beer Community?

For craft beer enthusiasts and brewery owners alike, this story serves as a wake-up call. It’s a reminder to support breweries that not only produce great beer but also take care of their employees.

For Brewery Owners:

If you’re running or thinking about starting a brewery, this is a clear signal to get your labor practices in order. The craft beer community values transparency and fairness, and maintaining these values is crucial to building a loyal customer base.

For Beer Lovers:

Next time you visit a brewery or restaurant, consider the people making it all happen. From your bartender to the back-of-house staff, everyone deserves fair pay for their hard work.

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About Sly Fox

Sly Fox Brewing Company is a Pennsylvania craft beer staple, founded in 1995, and known for its bold flavors and innovative approach to brewing. With locations spanning the state, including the renowned Taphouse at Point State Park and the Highline Brewery in Pittsburgh, Sly Fox has built a reputation for quality beers that cater to a wide range of palates. From their flagship Pikeland Pils to seasonal favorites like Christmas Ale, the brewery offers a mix of traditional styles and creative brews that keep customers coming back. Over the years, Sly Fox has become a go-to destination for beer lovers and a key player in the local craft beer community.

Beyond its beers, Sly Fox is deeply rooted in Pennsylvania’s culture. Their involvement in events like the Sly Fox Bock Fest & Goat Race showcases their passion for creating experiences that bring people together. This blend of creativity and community engagement has helped the brewery maintain its popularity, even in a competitive craft beer landscape. However, recent labor-related controversies remind us that every business has room for growth and improvement. As Sly Fox continues to evolve, many hope it will prioritize not only great beer but also the well-being of its dedicated staff.

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A Message to Other Employers

The Department of Labor isn’t taking violations lightly. “This legal action recovers the workers’ hard-earned wages and sends a message to other restaurant employers that violations come at a cost,” said Samantha N. Thomas, the Philadelphia Regional Solicitor of Labor.

The case against Sly Fox Brewing reinforces the importance of following labor laws and ensuring that tipped workers receive their full earnings.

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Wrapping Up

While Sly Fox Brewing is known for its craft beer, this situation casts a shadow over the brand’s reputation. It’s a reminder that success in the craft beer world isn’t just about the product; it’s about the people.

As craft beer fans, we can use this moment to celebrate and support breweries that prioritize fairness and community. Let’s raise a glass to good beer—and to doing the right thing.

Have thoughts on this story? Let us know in the comments below or share your favorite employee-focused breweries.

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For More Information on Sly Fox Brewing

The following comes via Untappd.

Sly Fox Brewing Company is a regional brewery from Pottstown, PA. They have 514 unique beers and over 484,000 ratings with a global average rating of 3.56 (as of 11.27.24). Their Untappd description reads: “Sly Fox Brewing Company is headquartered in Pottstown, Pennsylvania with a 50-hectoliter production brewery and tasting room at 331 Circle of Progress. The Pottstown brewery location opened in January 2012 and Sly Fox beers are currently available in Pennsylvania, Maryland, Delaware, and New Jersey. Sly Fox is considered to be one of the most well-respected craft brewers in the Mid-Atlantic region. The company was founded in December 1995 by the Giannopoulos family when Peter Giannopoulos opened the Sly Fox Brewhouse & Eatery in Phoenixville, Pennsylvania. Sly Fox now has six pub locations: Phoenixville, Pottstown, Malvern, Wyomissing, and two pubs in Pittsburgh.”

You can follow them at these social media platforms:

• Sly Fox Brewing – Official Website
• Sly Fox Brewing – Facebook
• Sly Fox Brewing – Instagram
• Sly Fox Brewing – Twitter
• Sly Fox Brewing – Untappd

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