It’s official: 80/20 limit on tip credit won't be enforced

DOL's Wage and Hour Division was instructed to no longer use that standard, despite a court challenge.


DOL reasserts restaurants’ rights to a tip credit for side work

The reissue of guidelines tossed in 2009 are expected to shield full-service establishments from lawsuits alleging underpayment of servers.

The decision could require restaurants to forego the tip credit for side work and untipped activities.

Little-noticed ripples on the labor front hold profound implications for foodservice employers.

A majority of the city’s ruling council have co-sponsored a bill that would reverse last month’s ballot measure.

The portion of servers’ wages paid by restaurant employers will rise to $15 an hour.

As if supply and demand weren’t enough of a labor problem for restaurants, along comes a pummeling from unions and their fellow travelers, including the vote by a Burgerville unit's staff to unionize.

The go-ahead, applicable only to operations that don’t take a tip credit, was issued with little notice this week.

The consent agreement settles a three-year action brought by the Department of Labor.

The measure expressly prohibits employers from keeping tips when sharing gratuities with back-of-house staff.