The U.S. Department of Labor (DOL) has sent a proposed rule on tipped workers’ wages to the White House for review. The new proposal may replace the prior administration’s final rule, which was set to take effect in March but was delayed until April.
The prior administration’s rule would have made it easier for restaurants and other hospitality businesses to allow “back-of-the-house” workers—such as cooks and dishwashers—and other nontipped workers to share in gratuities under the Fair Labor Standards Act (FLSA).