Tip Credit
The Department of Labor has formally rescinded a 2021 rule that made it more difficult for employers to claim a minimum wage tip credit under the Fair Labor Standards Act (FLSA).
Often referred to as the "80/20 plus 30 rule," the Fair Labor Standards Act regulation made it more difficult for employers to claim a minimum wage tip credit.
The Michigan Supreme Court has struck down the state's current minimum wage and paid sick leave laws and replaced them with earlier versions of the laws that are significantly more beneficial to employees.
Under a new bill, Maryland's minimum wage will increase to $15.00 for all employers starting January 1, 2024 - a year earlier for large employers and two and a half years earlier for small employers compared to the increases scheduled under previous law.
The Michigan Court of Appeals has reversed a lower court's ruling that was poised to replace Michigan's minimum wage and paid sick leave laws with versions that would have been significantly more beneficial to employees. Worker advocates plan to appeal to Michigan's highest court.
Although election results had not been certified by local officials as of the time of publication, all three measures held commanding leads in unofficial results and were projected to prevail by reliable third parties.
Voters next week will consider measures that would raise the minimum wage to $15.00 in Nebraska, repeal the lower minimum wage for employers that provide health benefits in Nevada and eliminate the tip credit in Washington, D.C.
Sharing servers' tips with managers or using servers' tips to pay other employees' wages is prohibited under the Fair Labor Standards Act (FLSA), as recent developments highlight.
The Michigan Court of Claims has struck down the state's minimum wage and paid sick leave laws and restored earlier versions of the laws passed in 2018, which are significantly more beneficial to employees.
News: HR guidance on complying with the federal and state requirements for the minimum wage tip credit.