DOL to Rescind Obama-Era Tip-Pooling Restrictions

July 24, 2017

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Tip-pooling restrictions could be coming to an end.
The labor department could make the move in August.
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The U.S. Department of Labor is on the verge of handing restaurants a major victory. The DOL plans to propose a full rescission of the controversial tip-pooling restrictions put into effect by the Obama administration in 2011.

The restrictions identified tips as the property of employees, making it so any money collected could not be distributed to other workers or given back to the business. This was true even for employers who decided not to take tip credits and pay employees minimum wage.