The Pennsylvania Attorney General has approved a 2021 proposal by the state Department of Labor and Industries (L&I) to dramatically amend the state regulations governing wage payments for tipped workers. Current law provided a monthly tipped employee threshold of $30 in tips before an employer could take the tip credit and pay the authorized tipped minimum of $2.83 per hour. With the Attorney General recently giving his blessing to the new regulations which become effective on August 5, that threshold is being significantly increased to a new threshold whereby tipped employees must earn at least $135 per month in tips before the employer can take the tip credit and pay the lower tipped minimum wage. In addition, the 80/20 rule, which was rescinded by the Trump administration and reinstated by President Biden is now codified in Pennsylvania state law and further, state tip pooling rules mirror the federal rules expressly prohibit the participation of managers and supervisors in tip pools. To assist with the new regulations, L&I announced that a webinar on the subject will be held next Tuesday, July 19 from 10:00 – 11:30 AM. You can register here for this L&I webinar.