News & Analysis as of

Labor Regulations Minimum Wage Hospitality Industry

Jackson Lewis P.C.

City of Los Angeles Hotel Workers’ Minimum Wage Increase Put on Hold

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The City of Los Angeles has put the minimum wage increase for hotel workers on hold. Certain provisions were to take effect on July 1, 2025. This decision comes after a referendum petition against the ordinance was filed...more

Davidoff Hutcher & Citron LLP

Service Charges vs. Tips: Ensuring Legal Compliance in New York Restaurants

Understanding the difference between service charges and tips is critical for New York restaurant owners to remain compliant with state and federal labor laws. Misclassifying these charges can lead to legal disputes,...more

Davidoff Hutcher & Citron LLP

Understanding Spread of Hours Pay: Compliance Guide for New York Restaurant Owners

Long days and double shifts are common in the restaurant business. As a New York restaurant owner, it’s crucial to understand the “spread of hours” rule – a unique state requirement that can catch employers off guard. This...more

Akerman LLP - HR Defense

A Tip for Employers With Tipped Employees — Stay on Top of the Ever-Changing Guidance on the 80/20 Rule!

Employers with tipped employees are constantly trying to keep up with the ever-changing and evolving tip credit rules promulgated by the United States Department of Labor (DOL) — specifically, what is known as the 80/20 rule....more

FordHarrison

Restaurant Industry Alert: DOL Issues Final Rule Modifying Tip Sharing

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On September 23, 2021, the U.S. Department of Labor (DOL) issued its latest rule related to tip pooling. The rule modifies and clarifies aspects of a rule previously issued by the Trump administration. ...more

Quarles & Brady LLP

New DOL Tip Credit Rule Clarifies When Managers can Keep Tips and Lays Hefty Fines for FLSA Violations

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On September 24, 2021, the Department of Labor published its most recent rule regarding tip regulations under the Fair Labor Standards Act (“FLSA”). This final rule will go into effect on November 23, 2021....more

Littler

DOL Proposal to Resurrect 80/20 Rule for Tipped Employees Fails to Alleviate Longstanding Industry Concerns

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On June 23, 2021, the U.S. Department of Labor (DOL) published a notice of proposed rulemaking (NPRM), which reverses course from a December 2020 final rule and seeks to resurrect the so-called “80/20 Rule” that governs how...more

Jaburg Wilk

Tipping Points – DOL Issues New Opinions About Paying Tipped Employees

Jaburg Wilk on

Days before the January 20, 2021, presidential inauguration, the U.S. Department of Labor (DOL), under the outgoing administration, issued a flurry of new regulations, rules and opinion letters that could significantly impact...more

Littler

What Hospitality Employers Can Expect to See in Employment Law if Vice President Biden Wins the Election

Littler on

While no one knows what the outcome of the presidential election will be, if Vice President Biden is elected, hospitality employers should expect to see the following labor and employment issues front and center: A call to...more

Littler

WPI Wage Watch: Minimum Wage, Tip, and Overtime Developments (January 2020 Edition)

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If January's minimum wage, tip, and overtime developments forecast what employers should expect throughout the remainder of the year, it could be a challenging 2020....more

Troutman Pepper Locke

New York State To Eliminate Tip Credit For Many Employees Beginning June 2020

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Q:  I heard New York is changing its rules around tip credits for some types of employees.  What do I need to know? ...more

Littler

Connecticut’s New Restaurant Wage Law Codifies “80/20 Rule” for Tipped Employees

Littler on

Following months of political maneuvering, including a gubernatorial veto, Connecticut has enacted compromise legislation that attempts to clarify how restaurants and other hospitality industry employers must pay workers who...more

Pullman & Comley - Labor, Employment and...

One Last 2019 Act from the Connecticut General Assembly: A December “Special Session” and the Tip Credit

Governor Lamont signs House Bill 7501 into law on January 6, 2020. As we say goodbye to 2019 (and await commencement of the 2020 session of the Connecticut General Assembly in February), the General Assembly via a “Special...more

Epstein Becker & Green

Hospitality Employers Take Note: Numerous Local Increases to the Minimum Wage Take Effect Now

…With the start of the New Year, employers in the hospitality sector should prepare for new state- and local- minimum wage increases for their non-exempt employees. To help multi-jurisdictional employers easily navigate...more

Littler

New York Governor Orders Elimination of the Tip Credit for Employers Subject to the Minimum Wage Order for Miscellaneous...

Littler on

For over a year, New York State employers harbored concerns that New York State would enact rules that would eliminate their ability to apply a tip credit towards the wages of employees who earn tips. ...more

Littler

Minimum Wage, Tipped and Exempt Employee Pay in 2020: A Rates-Only Update

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Minimum wage laws can affect businesses of all sizes, whether operating nationwide, in multiple jurisdictions, or only in one state, county, or city. To help manage this challenge, below we provide a rates-only update that...more

Littler

Littler Global Guide - Philippines - Q3 2019

Littler on

Beginning September 3, 2019, 100% of the service charges collected by hotels, restaurants and similar establishments shall now be distributed equally among all covered workers, excluding managerial employees, pursuant to...more

Bricker Graydon LLP

Changes in store for tipped employees: DOL proposes host of new tip regulations

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On October 8, 2019, the U.S. Department of Labor (DOL) proposed changes to the Fair Labor Standards Act (FLSA) regulations governing the wages of tipped employees, specifically, tip credits and tip pools....more

Akerman LLP - HR Defense

Hot Tip: End May Be Near for 80/20 Rule!

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Employers in the hospitality and restaurant industry are poised for celebration: the Department of Labor (DOL) has proposed eliminating a rule that requires tracking the time tipped employees devote to non-tip producing...more

FordHarrison

Department of Labor Deflates the 80/20 Rule & Inflates the Tip Pool

FordHarrison on

On Monday, October 7, 2019, the Department of Labor (DOL) proposed a new 80/20 rule and tip pooling regulation. First, the proposed regulation, if finalized, will permit employers to take a tip credit regardless of the...more

Epstein Becker & Green

U.S. DOL Announces Proposed New Rule on Tip Credits and Pooling

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Rules relating to tip credit and pooling have resulted in significant debate among legislators, regulators, and the courts, leading to confusion, further litigation, and, in many cases, substantial liability or settlements...more

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