- Posts by Rishi Puri
Member of the FirmAttorney Rishi Puri delivers strategic, practical advice and effective representation across a broad range of employment and data privacy matters.
Rishi guides both small and large employers through various aspects of the ...
Section 3(m)(2)(B) of the FLSA prohibits employers, including managers or supervisors, from keeping any portion of an employee’s tips. Accordingly, the law has been clear that a manager or supervisor cannot participate in a general employee tip pool, since tip pools including tips of other employees.
Although this appears clear at first blush, the blurred lines of restaurant staffing creates ambiguity as to who is exactly a manager or supervisor. Non-exempt employees often work in a certain supervisory capacity as team or shift leads. Conversely, it is also common for managers and supervisors in restaurants to perform a certain amount of non-supervisory duties. So, when are employees with minor supervisory responsibilities treated as managers for tip pooling? And can managers participate in tip pools when they perform non-supervisory duties?
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Recent Updates
- Time Is Money: A Quick Wage-Hour Tip on … DOL Confirms Managers Are Blocked from Tip Pool Even When Working in Non-Supervisory Capacity
- Employers in California: Don’t Forget That “Joint Employers” Are Not Vicariously Liable for Each Other’s Conduct
- Many State and Local Minimum Wages Increased on January 1, 2025
- California Court of Appeal Holds That Every PAGA Action Necessarily Includes an Individual PAGA Claim – and Plaintiffs With Arbitration Agreements Must Arbitrate Their Individual Claims First
- Time Is Money: A Quick Wage-Hour Tip on … California Meal and Rest Period Requirements, Revisited