WE ARE THE UNION!
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WE ARE THE UNION!
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TIP/GRATUITY
ISSUES FROM AROUND THE COUNTRY (ONLY RELEVANT SECTIONS HAVE BEEN SELECTED)
Taken
from the California
Division of Labor Standards Enforcement and Labor Code: Labor
Code Section 351 prohibits employers and their agents from sharing in or keeping
any portion of a gratuity left for or given to one or more employees by a
patron. The
law further states that gratuities are the sole property of the employee or
employees to whom they are given. Tips
belong to the employee, not to the employer. Additionally, tip pooling cannot be used to compensate the owner(s), manager(s), or supervisor(s) of the business, even if these individuals should provide direct table service to a patron. From
a Massachusetts Wage and Hour poster: Tip
pooling
in
which tips are distributed to any person not a wait staff, service employee or
service bartender is prohibited. Under
no circumstances may management employees or owners receive any portion of their
employees’ tips. Minnesota
Statutes 2007: For purposes of this chapter, any gratuity received by an employee or deposited in or about a place of business for personal services rendered by an employee is the sole property of the employee. No employer may require an employee to contribute or share a gratuity received by the employee with the employer or other employees or to contribute any or all of the gratuity to a fund or pool operated for the benefit of the employer or employees. This section does not prevent an employee from voluntarily and individually sharing gratuities with other employees. The agreement to share gratuities must be made by the employees free of any employer participation. The commissioner may require the employer to pay restitution in the amount of the gratuities diverted. If the records maintained by the employer do not provide sufficient information to determine the exact amount of gratuities diverted, the commissioner may make a determination of gratuities diverted based on available evidence and mediate a settlement with the employer. New
Hampshire:
Tip
Pooling Regulations: Back in 1999, the Department adopted regulations stating
that “tips are wages and are the property of the employee and shall remain
with the employee, unless the employee voluntarily and without coercion agrees
to participate in a tip pool which is not required or controlled by the
employer.” It further states that, “employers are not precluded from
administering a tip pool as long as the employer does not control it other than
for accounting or for bookkeeping purposes.”
New
York
: The
basic premises concerning “tips” are as follows: in no event may the
employer or his/her “agent” share in the employees’ tips; an employee
cannot consent to the employer sharing in the tips; non-service employees may
not share in tips.
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