Tip Credit Suit Tossed by Court

Along a similar line, a U.S. District Court judge for the Northern District of California has dismissed a lawsuit brought by One Fair Wage (an SEIU-sponsored advocacy group associated with the Restaurant Opportunities Center), ruling that the organization did not have standing to bring the complaint. The suit, filed against Darden Restaurants, alleged that the…

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Tipping and The Minimum Wage

It seems there are some out there who refuse to acknowledge that the tip credit and the minimum wage can and should be allowed to peacefully co-exist. As a case in point, in the wake of President Biden’s Executive Order raising the minimum wage for federal contractors to $15 an hour, DOL issued a proposed…

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Delaware Adopts $15 Wage

Last week on a straight party-line vote of 26-15, the Delaware General Assembly passed legislation, already approved by the state senate, that will incrementally raise the state minimum wage to $15 per hour by 2025. The proposal, which Governor John Carney is expected to sign, makes the President’s home state the latest to adopt a…

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DOL Delays New Tip Pooling Rule

Call it the “Final Rule” that isn’t, as the Department of Labor has now delayed the implementation of its Final Rule on tip pooling under the Fair Labor Standards Act (FLSA). The Tip Regulations Final Rule was just finalized in late December and was set to become effective on March 1, 2021. However, in one…

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DOL Passes New Tip Pooling Rule

The U.S. Department of Labor (DOL) has issued its long-awaited Final Rule addressing who may share tips under the Fair Labor Standards Act (FLSA) and the circumstances under which employers may use a tip credit. It will become effective on March 1, 2021, 60 days after publication in the Federal Register. The Final Rule implements a 2018 amendment…

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New Jersey Proposes New Wage Definition for Tips

The New Jersey Department of Labor (NJDOL) has proposed new regulations that would revise the definition of “wages” in the Garden State to exclude “tips” from an employer’s obligation relating minimum wages. Under the proposed regulations, a “tipped employee is any employee engaged in an occupation in which he or she customarily and regularly receives…

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Florida, Chicago & Denver on Minimum Wages

As we’ve anticipated, the Florida Minimum Wage petition has met the signature threshold and is headed for the ballot in November 2020. The Florida Division of Elections has officially certified over 768,000 voter signatures (766,200 are required for 2020 petitions). The petition, which will appear on the 2020 ballot as Amendment 2, will increase the…

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Yet, Another DOL Tip Pooling Rule

On Monday of this week, the Department of Labor (DOL) released yet another amended tip-pooling proposal. The latest iteration however, only applies to employers who do not take a tip credit. It will allow employers to pool tips from front-of-the-house workers and share them with back-of-the-house employees who aren’t normally tipped. This most recent change…

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Thanks But Please, Don’t Help!

That seems to be the clear message being sent by a number of restaurant employees to SEIU and the Restaurant Opportunities Center United (ROC). Bartenders and servers have joined forces to create a website, Our Industry Our Voice, through which they advocate for the preservation of the tipped wage (and the tip credit). The website…

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Agreement Reached on $15 Minimum Wage

After battling all through last year over the issue, democrat NJ Governor Phil Murphy agreed with the democratic-controlled legislature on a bill that will lead to a state minimum wage of $15 per hour as soon as 2024. Assembly Speaker Craig Coughlin, who has not always seen eye to eye with Murphy, finally brokered the…

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