Spread Bagelry, which takes pride in its classic Montreal style bagels and homemade spreads, is located on 36th and Chestnut.
Credit: Connor AugustineUpdate: As of November 2018, the case against Spread Bagelry has been settled. Founders Larry Rosenblum and Gigi Arnuti agreed to pay $40,000, Philly.com reported.
Oct. 16 — Spread Bagelry, a popular bagel and booze spot with locations in Rittenhouse Square and 36th and Chestnut streets, is under federal investigation for unpaid wages.
The suit accuses the company of neglecting its legal responsibility to pay overtime wages to employees working over forty hours in a week, according to Philadelphia Magazine.
Philly Mag reported that United States Secretary of Labor Alexander Acosta is holding Spread accountable for a total of $186,292 owed to these workers. The suit said that six workers are owed more than $10,000 and one worker is owed over $23,000 alone.
Owners Larry Rosenblum and Didiane Arnuti — who have also been accused of keeping improper records on their employees — agreed to pay around $102,000 of the sum in the next five months, promising to adhere more closely to regulations in the future. The company is also banned from pursuing any action against employees who took the suit to the Department of Labor.
“Spread Bagelry is committed to full compliance with all wage laws for our valued employees," attorney Kelly Kindig wrote in a statement the company sent to Philly Mag. "Spread has worked with the Department of Labor to resolve this matter, and we look forward to the continued growth and success of Spread.”
Spread's location on Penn's campus opened in September 2016 and replaced Pizza Rustica. The opening inspired excitement among students at the time, and in the past two years, the eatery has become a popular spot for members of the Penn community.
Some students say the news around Spread Bagelry's treatment of employees may discourage them from visiting the establishment moving forward.
“I was a bit disappointed when I heard the news,” College freshman Katrina McDermott said. “I personally can’t support an establishment that mistreats its workers, but hopefully Spread gets back on track.”
In related news, Philadelphia was recently ranked among the bottom-three cities in the nation for income inequality.
The Daily Pennsylvanian is an independent, student-run newspaper. Please consider making a donation to support the coverage that shapes the University. Your generosity ensures a future of strong journalism at Penn.
Donate