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The Houston, Texas tipped employee lawyers at Kennedy Hodges were pleased to see that Bloomberg Businessweek reported new regulations issued by the U.S. Department of Labor under the Fair Labor Standards Act regarding tipped employees.
Our lawyers handle violations of tipped employee laws in Texas on a regular basis, and we want readers to also be aware of these FLSA guidelines.
The article gives tips on how employers can comply with these regulations, including the following:
Employee tips cannot be used for anything other than a valid tip pool. Workers who do not receive tips, such as dishwashers and cooks, are prohibited from participating in tip pools.
Employers must always abide by state and federal laws regarding tip credits and tipped employees. If the state law is more strict, than that is the one that will take precedent.
All employees must be informed of the cash wage that they will be paid, what the tip credit formula entails, and the fact that they are entitled to keep all of the cash tips earned.
For more information on overtime as a tipped employee in Houston, contact the lawyers at Kennedy Hodges for a free copy of Ten Biggest Mistakes That Can Hurt Your Wage and Overtime Claim. Call 888.449.2068 today for your free consultation.
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