There’s been a lot of buzz about tipped wages as Election Day approaches – and hospitality employers will want to track key proposals that may have a huge impact on pay practices. Former President Trump and Vice President...more
9/3/2024
/ Ballot Measures ,
Department of Labor (DOL) ,
Federal Labor Laws ,
Hospitality Industry ,
Income Taxes ,
Legislative Agendas ,
Minimum Wage ,
Proposed Legislation ,
Restaurant Industry ,
Service Charges ,
State Labor Laws ,
Tax Credits ,
Tip Credit ,
Tip-Pooling ,
Tipped Employees ,
Tips ,
Wage and Hour
Many restaurants utilize tip pools to encourage teamwork, consistency, and customer-focused service – but you may be confused about who can and can’t participate in the pool. You feel confident that your servers and...more
5/17/2024
/ Department of Labor (DOL) ,
Employer Liability Issues ,
Fair Labor Standards Act (FLSA) ,
Hospitality Industry ,
Minimum Wage ,
Restaurant Industry ,
Tip Credit ,
Tip-Pooling ,
Tipped Employees ,
Tips ,
Wage and Hour
Hotel staff often include a mix of tipped and non-tipped jobs, but following wage and hour rules isn’t always easy, particularly if employees perform a variety of tasks. Some workers — such as servers and bartenders — may...more
9/13/2023
/ Department of Labor (DOL) ,
Fair Labor Standards Act (FLSA) ,
Hospitality Industry ,
Hotels ,
Minimum Wage ,
Tip Credit ,
Tip-Pooling ,
Tipped Employees ,
Tips ,
Wage & Hour Division (WHD) ,
Wage and Hour
Do you utilize a tip pool in your restaurant? If so, you are likely aware of the various rules on maintaining a valid, lawful tip pool under the federal Fair Labor Standards Act (FLSA) and applicable state laws. You surely...more
Employers in the hospitality industry have been through it all in recent years – from the devastation of the pandemic to ongoing labor shortages to an impending recession. These challenges and dramatic changes have surely...more
1/19/2023
/ Bonuses ,
Employer Liability Issues ,
Hospitality Industry ,
Managers ,
Over-Time ,
Rate of Pay ,
Rest and Meal Break ,
Salaried Employees ,
Service Charges ,
Supervisors ,
Tip Credit ,
Tip-Pooling ,
Tipped Employees ,
Tips ,
Unpaid Overtime ,
Wage and Hour
Employers in the restaurant and hospitality industries know it’s a common practice to ask workers to share gratuities. Tip pools can promote teamwork and a better customer experience – but they can also land you in hot water...more
5/19/2022
/ Department of Labor (DOL) ,
Employer Liability Issues ,
Fair Labor Standards Act (FLSA) ,
Hospitality Industry ,
Minimum Wage ,
Over-Time ,
Restaurant Industry ,
Tip Credit ,
Tip-Pooling ,
Tipped Employees ,
Tips ,
Wage & Hour Division (WHD) ,
Wage and Hour
With the government’s final rules on the tips provisions of federal wage and hour law becoming effective just weeks ago, employers will be challenged with ensuring they have a plan to address the rules’ impact on their...more
1/27/2022
/ Civil Monetary Penalty ,
Department of Labor (DOL) ,
Employer Liability Issues ,
Fair Labor Standards Act (FLSA) ,
Federal Labor Laws ,
Final Rules ,
Hospitality Industry ,
Minimum Wage ,
New Rules ,
Restaurant Industry ,
Tip Credit ,
Tip-Pooling ,
Tipped Employees ,
Tips ,
Wage and Hour
Federal labor officials just finalized a rule that broadens their ability to assess monetary fines against those business that commit wage and hour violations with regards to tip payments, a development several months in the...more
10/4/2021
/ Civil Monetary Penalty ,
Department of Labor (DOL) ,
Employer Liability Issues ,
Fair Labor Standards Act (FLSA) ,
Final Rules ,
Hospitality Industry ,
Managers ,
Supervisors ,
Tip Credit ,
Tip-Pooling ,
Tipped Employees ,
Tips ,
Wage and Hour ,
Willful Violations
The U.S. Department of Labor issued a long-awaited final rule right before Christmas addressing the issue of tipped employees. The final rule, released on December 22 but not effective until February 20, 2021, provides...more
12/29/2020
/ Civil Monetary Penalty ,
Department of Labor (DOL) ,
Employer Liability Issues ,
Exempt-Employees ,
Fair Labor Standards Act (FLSA) ,
Final Rules ,
Hospitality Industry ,
Job Duties ,
Minimum Wage ,
New Rules ,
Recordkeeping Requirements ,
Tip Credit ,
Tip-Pooling ,
Tipped Employees ,
Tips ,
Wage and Hour
Employers that utilize the “tip credit” in the federal Fair Labor Standards Act (“FLSA”), or whose employees receive tips, should carefully consider regulatory changes that were proposed by USDOL today. While many of the...more
10/8/2019
/ Comment Period ,
Department of Labor (DOL) ,
Employer Liability Issues ,
Employment Policies ,
Fair Labor Standards Act (FLSA) ,
Field Operations Manual ,
Minimum Wage ,
Proposed Regulation ,
Proposed Rules ,
Tip Credit ,
Tip-Pooling ,
Tipped Employees ,
Wage and Hour
As we previously wrote, Congress has now amended Section 3(m) of the federal Fair Labor Standards Act (FLSA) to prohibit an employer from "keep[ing] tips received by its employees for any purpose, including allowing managers...more
3/30/2018
/ Appeals ,
Department of Labor (DOL) ,
Employer Liability Issues ,
Fair Labor Standards Act (FLSA) ,
Hospitality Industry ,
Minimum Wage ,
New Amendments ,
Proposed Rules ,
Restaurant Industry ,
Tip Credit ,
Tip-Pooling ,
Tipped Employees ,
Tips ,
Wage and Hour
We have previously written about the U.S. Department of Labor's position adopted in 2011 saying that an employer may not retain any of an employee's tips even if management:
• Takes no tip-credit under the federal Fair...more
12/6/2017
/ Comment Period ,
Department of Labor (DOL) ,
Employer Liability Issues ,
Fair Labor Standards Act (FLSA) ,
Minimum Wage ,
Proposed Regulation ,
Public Comment ,
Tip Credit ,
Tip-Pooling ,
Tipped Employees ,
Tips ,
Wage and Hour
Legal issues surrounding tip credits have been in the spotlight throughout much of 2017, from significant court decisions to announcements by the U.S. Department of Labor (USDOL). But rather than setting forth clear rules,...more
12/4/2017
/ Department of Labor (DOL) ,
Employer Liability Issues ,
Fair Labor Standards Act (FLSA) ,
Federal Labor Laws ,
Hospitality Industry ,
Legislative Agendas ,
Minimum Wage ,
Notice Requirements ,
Recordkeeping Requirements ,
Tip Credit ,
Tip-Pooling ,
Tipped Employees ,
Tips ,
Wage and Hour
In a welcome decision for employers, the Eleventh Circuit U.S. Court of Appeals (having jurisdiction over Alabama, Florida, and Georgia) recently ruled that a tipped employee for whom no federal Fair Labor Standards Act "tip...more
6/15/2017
/ Appeals ,
Corporate Counsel ,
Department of Labor (DOL) ,
Dismissals ,
Drivers ,
Employer Liability Issues ,
Fair Labor Standards Act (FLSA) ,
Minimum Wage ,
Private Right of Action ,
Tip Credit ,
Tip-Pooling ,
Tipped Employees ,
Tips ,
Wage and Hour