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Fifth Circuit Court of Appeals Nixes DOL's Tip Rule

Real World Impact:  The Fifth Circuit Court of Appeals' recent decision vacating the U.S. Department of Labor’s (DOL) rule regarding tipped employees means the rule is no longer in effect nationwide. This is a major victory...more

Restaurant Industry Alert: DOL Publishes Final Rule for Tipped Employees

On October 29, 2021, the U.S. Department of Labor (DOL) published its Final Rule related to tipped employees. It is effective December 28, 2021. DOL had issued a Notice of Proposed Rulemaking (NPRM) on June 21, 2021,...more

Restaurant Industry Alert: DOL Issues Final Rule Modifying Tip Sharing

On September 23, 2021, the U.S. Department of Labor (DOL) issued its latest rule related to tip pooling. The rule modifies and clarifies aspects of a rule previously issued by the Trump administration. ...more

Department of Labor Relaxes Rules for Tipped Employees

The Department of Labor’s Wage and Hour Division (WHD) has announced it will no longer apply the “80/20 rule” to tipped employees, and will no longer require employers to pay the full minimum wage for time spent by a tipped...more

Ninth Circuit Perpetuates Uncertainty in 80/20 Rule for Employers of Tipped Workers

On September 18, 2018, a year after a three-judge panel of the United States Court of Appeals for the Ninth Circuit affirmed the dismissal of Marsh v. J. Alexander’s LLC, 869 F.3d 1108, a larger en banc panel of the court has...more

Ninth Circuit Creates More Uncertainty in 80/20 Rule for Tipped Workers

On February 16, 2018, the United States Court of Appeals for the Ninth Circuit granted en banc review of Marsh v. J. Alexander’s LLC, 869 F.3d 1108, creating a new layer of uncertainty for hospitality employers....more

Tenth Circuit Rules Employer That Pays More Than Minimum Wage Does Not Have to Share Customers' Tips With Employees

On June 30, 2017, the U.S. Court of Appeals for the Tenth Circuit ruled in Marlow v. The New Food Guy, Inc. d/b/a Relish Catering (Relish) that neither the Fair Labor Standards Act (FLSA) nor a Department of Labor (DOL)...more

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