Employers Would Pocket $5.8 Billion of Workers’ Tips Under Trump Administration Rule

From the Economic Policy Institute (http://www.epi.org/):

The Trump administration has proposed a rule that would allow restaurant owners to take servers’ tips from them. The rule is being peddled as a “tip sharing” rule, as it would allow employers to redistribute tips so that untipped employees—such as cooks and dishwashers—also get a share. But there’s a catch: under the rule, as long as tipped workers are paid the minimum wage, employers can legally pocket those tips rather than redistributing them. EPI economists estimate that if the rule is finalized, restaurant owners would pocket $5.8 billion of their workers’ tips each year.

Read more at http://www.epi.org/publication/employers-would-pocket-workers-tips-under-trump-administrations-proposed-tip-stealing-rule/.

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