DOL Proposes New Rule on Server Side-Work, Reviving the 80/20 Rule and Including a new 30 Minute Cap
By Christopher T. Vrountas, Esq. and Allison C. Ayer, Esquire, Vrountas, Ayer & Chandler, P.C.
Back in March we warned that the U.S. Department of Labor might make further revisions to the tip credit rules promulgated at the end of the Trump administration. That warning has now become reality. Late in June 2021, the DOL announced yet another proposed new rule to the Federal regulations governing when an employee may pay an employee a tip credit wage. This newly proposed rule (“the 2021 Proposed Rule”) would change the Federal tip credit regulations that were propounded at the end of 2020 by reviving the well-known 80/20 rule (with modifications) and adding a new 30 minute-cap on continuous side work.
Vrountas, Ayer & Chandler, P.C.
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