DOL Scraps Wage Safeguard For Multitasking Tipped Workers

By Braden Campbell (November 8, 2018, 6:32 PM EST) -- The U.S. Department of Labor issued four opinion letters Thursday, including one that nixed guidance directing employers to pay tipped workers at least minimum wage for nontipped work that takes up a large chunk of their shift.

The tip memo, which restores 2009 guidance from then-acting Wage and Hour Division Administrator Alexander Passantino, rescinds the agency's so-called 80-20 rule. This rule barred businesses from paying servers and other tip-based workers at the lower tipped minimum wage for nontipped work, such as polishing silverware or folding napkins, when such work takes up at least 20 percent of their day.

The DOL issued...

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