Tip Pooling Changes on the Horizon – new deadlines

Tip Pooling Changes on the Horizon – new deadlines https://wahospitality.org/wp-content/uploads/2017/05/tips-jar-1024x580.jpg

Today, the U.S. Department of Labor announced it intends to issue a “Notice of Proposed Rulemaking” (NPRM) in August. The NPRM would rescind controversial tip-pooling restrictions which should come as a welcome relief to employers in the hospitality industry. Additionally, the Department of Labor and the Department of Justice, have asked for another extension in the National Restaurant Association legal case challenging the tip pooling regulation. So now the DOL/DOJ have until September 8, 2017.

These two changes set into motion regulatory action that could aid hospitality employers across the country. However, in Washington because of I-1433, tips still will need to be distributed to employees regardless of what the new rule says about pooling practices. We are unsure of the impact to Washington or Seattle employers until there is a final rule.

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