A new Trump administration rule could cost tipped employees more than $700 million in lost wages each year.A new rule published by the Department of Labor on Tuesday would allow restaurant owners to take employees' tips to pay "back-of-the-house" workers, such as cooks and dishwashers.
"It's really, really clear this about the interests of corporate executives and shareholders," Heidi Shierholz, an economist at EPI, told Business Insider.A new regulation rolled out in the final days of the Trump administration will allow restaurants to pull tips from their waitstaff to pay cooks in the back, putting more cash in the pockets of ownership while forcing front-of-the-house staff to do more work for less money.
"It's totally ambiguous and makes it extremely difficult to enforce," Heidi Shierholz, director of policy at the center-left Economic Policy Institute, told Business Insider.Cheryl Stanton, administration of the wage and hour division at the Department of Labor, said the rule "could increase pay for back-of-the-house workers, like cooks and dishwashers… reduc[ing] wage disparities among all workers who contribute to the customers' experience.
"If there really was a strong interest in reducing inequality and raising the wages of the lowest-paid workers, they would be pushing tooth and nail to raise the minimum wage," Shierholz added.
charliearchy This is a little misleading. The federal minimum wage for all employees is 7.25. If the employee receives tips the employer can pay them as little as 2. 13 per hour providing the tips make up the difference. If they don't, the employer must pay the difference.
Worthless liberal trash...
charliearchy 'Thier'
annia
More of your promoted BS. I didn't know that you were part of China Daily.
Wow, this is so socialist. Shocked
thanks