Exotic Dancers and Strippers Are Often Paid Incorrectly – Here’s What You Need to Know

In the glitz and glamour of nightclubs and gentlemen’s clubs, exotic dancers and strippers provide high-energy performances that entertain crowds and fuel the nightlife economy. 

But behind the flashing lights and loud music, there’s a growing labor crisis that continues to be overlooked: these workers are frequently misclassified and underpaid—and sometimes not paid at all.

At Morgan & Morgan, we believe every worker deserves fair pay and proper treatment under the law. Whether you work in an office, a factory, or on a stage, your rights matter. 

Unfortunately, many exotic dancers and strippers face wage theft, illegal deductions, and misclassification that deprive them of thousands of dollars in wages.

If you're a dancer who thinks you’ve been treated unfairly, contact Morgan & Morgan now for a free case evaluation to learn how you can fight for what you’re owed.

The Reality Behind the Stage

Though the entertainment industry is often thought of as glamorous, it’s also one of the least regulated, and that lack of oversight has serious consequences. In many clubs across the United States, exotic dancers are treated more like disposable gig workers than employees. Employers may try to take advantage of dancers’ independent contractor status to skirt wage laws and avoid paying benefits or taxes.

But the truth is, in many cases, these workers are actually employees under federal and state labor laws. And when clubs fail to treat them as such, they may be violating laws under the Fair Labor Standards Act (FLSA) and similar state statutes.

Common Wage Violations in the Exotic Dance Industry

Many dancers are unaware that the way they are paid and the fees they are charged may be illegal. Here are some of the most common violations:

Misclassification as Independent Contractors

One of the most pervasive issues in the industry is misclassification. Club owners often label dancers as independent contractors instead of employees to avoid paying minimum wage, overtime, unemployment insurance, and payroll taxes.

However, courts have repeatedly found that exotic dancers should often be considered employees. Why? Because clubs typically exert significant control over the dancers’ schedules, costumes, music selection, stage time, and conduct, criteria that often determine employee status under the law.

In Harrell v. Diamond A Entertainment, a federal court found that dancers were employees because the club controlled many aspects of their job and the dancers were economically dependent on the club.

Illegal “House Fees” or Stage Fees

Many clubs require dancers to pay a fee just to perform, a practice that can range from $20 to $200 or more per shift. This “pay-to-play” model is problematic when dancers are treated as employees. Under labor law, employers cannot charge employees for the privilege of working. These fees can result in dancers making negative income after a shift.

Tip Sharing With Management or Non-Tipped Workers

Dancers often receive most of their income through tips from customers. But in many cases, clubs demand that dancers share those tips with DJs, security staff, managers, or even owners. This is illegal under federal law when dancers are classified as employees.

The FLSA only permits tip pooling among employees who customarily and regularly receive tips. Club managers, security guards, and DJs typically do not qualify, and tip sharing with them could entitle dancers to recover those lost wages.

Failure to Pay Minimum Wage and Overtime

Even when clubs pay dancers a portion of their earnings, they often fail to pay the minimum wage or compensate for overtime. Under federal law, all employees must earn at least $7.25 per hour (higher in many states) and receive time-and-a-half for hours worked over 40 in a week.

If dancers are required to work multiple shifts or long hours without adequate compensation, they may have a right to recover those unpaid wages.

No Pay for Mandatory Wait Times or Prep Time

Dancers frequently arrive early for hair, makeup, and sign-in, or are required to wait between sets. These hours often go unpaid, even though the time benefits the employer and qualifies as compensable labor under the law.

Not Just a Big City Problem

This is not a problem limited to major entertainment hubs like Las Vegas, New York, or Miami. Lawsuits and complaints from dancers have popped up across the country—from small-town strip clubs to high-end gentlemen's lounges.

For example, in California, dancers won a $13 million class action settlement after alleging they were misclassified and denied wages and reimbursements.

In Florida, multiple lawsuits have been filed against clubs for improper tip pooling and misclassification, and in Georgia, a federal court ruled that dancers were employees entitled to minimum wage protections under the FLSA.

No matter where you perform, you’re still entitled to protection under state and federal labor laws.

What the Law Says: Employee vs. Independent Contractor

The difference between being an employee and an independent contractor is critical. Here's how the Department of Labor (DOL) and courts typically determine employment status.

• Control Over Work – Does the club control your schedule, rules, appearance, or performance?
• Opportunity for Profit or Loss – Can you make independent decisions that affect your earnings?
• Investment in Equipment or Materials – Do you provide your own costumes or props?
• Skill and Initiative – Is the work specialized and self-directed?
• Permanency of Relationship – Is your working relationship ongoing or project-based?
• Integration into the Business – Are you essential to the club’s day-to-day business?

When dancers are found to be economically dependent on the club and under its control, courts are likely to determine they are employees, entitled to full wage protections.

What to Do if You’re Being Paid Unfairly

If you're an exotic dancer or stripper and think your pay practices are illegal, take these steps:

• Document Everything: Keep records of your hours worked, fees paid, tips earned, and club policies. Screenshots, pay stubs, and text messages can all help support your case.
• Talk to Other Dancers: Wage violations often affect entire groups. If your coworkers are facing the same issues, you may be able to file a class-action lawsuit together.
• Don’t Wait: There are strict time limits for filing wage claims. In many cases, you only have two to three years to recover back pay.
• Contact Morgan & Morgan: Talking to an employment lawyer is the best way to understand your rights. A good attorney can help you build your case and protect you from retaliation.
  
   

How Morgan & Morgan Can Help

The entertainment industry relies on the talent and energy of dancers to generate profits, but that doesn’t mean clubs can ignore labor laws. Whether you dance part-time or full-time, your work is valuable. You deserve fair treatment, proper classification, and full payment for every hour you work.

At Morgan & Morgan, we fight For the People, not the powerful clubs that exploit their workers. If you think your rights have been violated, our legal team is ready to help you take a stand.

We understand the challenges dancers face, especially when it comes to speaking out. Clubs often use intimidation, blacklisting, or threats of job loss to discourage workers from asserting their rights, but you don’t have to fight alone.

At Morgan & Morgan, our labor and employment attorneys have extensive experience representing workers in wage theft and misclassification cases. We’ve helped recover millions of dollars in unpaid wages and damages for clients across the country.

If you’re a current or former dancer who believes you’ve been underpaid, misclassified, or subjected to illegal club practices, you may be entitled to significant compensation. Don’t wait—call Morgan & Morgan today. Hiring one of our lawyers is easy, and you can get started in minutes with a free case evaluation.