12/22/2020

BUSINESS/TRUMP ADMIN: “Servers and other workers who receive tips could be required by their employer to share that gratuity with non-tipped staff members such as dishwashers, under a final regulation the Labor Department announced on Tuesday [Dec. 22, 2020].

The rule is the culmination of more than three years of work by the Trump administration to deliver the regulation long sought by the restaurant industry…

The new rule also removes a previous guideline—which stated that tipped workers must spend at least 80% of their time performing tasks that earn tips, such as waiting tables—for employers to be able to apply tips to meet minimum wage laws. The new rule states that employers can apply tips as part of meeting the minimum wage when a worker performs non-tipped duties for a ‘reasonable time’ before or after performing tipped duties.”

-Eric Morath, “Restaurants Can Require Servers to Share Tips Under New U.S. Rule,” wsj.com, Dec. 22, 2020