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DOL Issues Final Rule on Tip Sharing and Employer Penalties

October 1, 2021

Via: SHRM

The U.S. Department of Labor (DOL) may fine employers in more circumstances when they violate federal tip-sharing regulations under a recently issued rule. The rule also clarifies when managers and supervisors can keep gratuities they received.

“The final rule … strengthens protections for tipped workers—who are largely women, immigrants and people of color—and advances equity in the workplace,” said DOL Wage and Hour Division Acting Administrator Jessica Looman.

The rule will take effect on Nov. 23.

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