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Final Rule Affirms U.S. Department of Labor’s Power to Fine Businesses That Engage in Tip Theft

The U.S. Department of Labor published a final rule on September 23, 2021 clarifying several amendments to section 3(m) of the Fair Labor Standards Act (FLSA) that concern tip pooling. The final rule reestablishes the DOL’s...more

Department of Labor Issues Two Tip-Related Opinion Letters in Final Days of Outgoing Administration

On January 15, 2021, the U.S. Department of Labor issued two opinion letters addressing tip-related issues.  The first, FLSA2021-4, addresses whether, and in what circumstances, a restaurant that takes a tip credit for its...more

DOL Issues Final Rule on Handling Tips and Eliminating the 80/20 Rule

On December 22, 2020, the U.S. Department of Labor (DOL) issued a final rule solidifying tip credit issues under the Fair Labor Standards Act (FLSA).  The rule becomes effective 60 days after its publication in the Federal...more

DOL Re-Issues 2009 Opinion Letter and Loosens Rules to Apply a Tip Credit to Employees Who Perform Side Work

On November 8, 2018, the U.S. Department of Labor (DOL) reissued and adopted a nearly decade-old opinion letter to clarify how employers must pay tipped employees who perform dual jobs. ...more

DOL Issues Proposed Rule to Rescind 2011 Regulations that Impose Tip-Sharing Restrictions on Employers that Pay the Full Federal...

The U.S. Department of Labor (DOL) has issued a proposed rule to rescind the Department’s position that employers must comply with tip-pooling requirements even when paying the full minimum wage. ...more

DOL Issues Proposed Rule to Rescind 2011 Regulations that Impose Tip-Sharing Restrictions on Employers that Pay the Full Federal...

The U.S. Department of Labor (DOL) has issued a proposed rule to rescind the Department’s position that employers must comply with tip-pooling requirements even when paying the full minimum wage. ...more

DOL Announces Intent to Rescind Rule Restricting the Allocation of Gratuities to Non-Tipped Employees When the Employer Does Not...

Restaurants, hotels, and other businesses that employ tipped workers have long wrestled with a seemingly simple, but actually intractable, question: who is entitled to receive a share of a guest’s gratuities? If an employer...more

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