Wages Again Heading to the Ballot

In the wake of public hearings being held last week up in Portland Maine, the Portland City Council voted to approve a ballot measure raising the minimum wage within Maine’s largest city and put it before the voters this November. The initiative would raise the current minimum waged of $13 per hour to $18 an…

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DC Tip Credit Again Headed to Ballot

It seems to be the issue that just won’t go away, but the District of Columbia Superior Court has dismissed a lawsuit challenging the validity of signatures gathered to certify Initiative 82 for the November ballot. The suit was filed by a local bartender who wants to continue to collect tips rather than be paid…

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New Tip Rules Effective August 5

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…

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NRA Files to Stop 80/20 Rule

Although it seems we’ve been advising on the changes – and changes back – regarding the federal tip credit rules for quite some time, there is still news to report. Last week, along with the Texas Restaurant Association, the National Restaurant Association’s Restaurant Law Center (NRA) filed an emergency motion seeking a temporary injunction against…

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Attacking the Tip Credit

Massachusetts lawmakers are now considering legislation that would phase out the state tipped minimum wage and mandate one uniform minimum wage by 2028. Under the legislation filed by Representative Tricia Farley-Bouvier (Pittsfield), the current tipped worker wage of $5.55 (and slated to rise to $6.75 by 2023) would be phased out as the tipped wage…

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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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