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Tips can’t be redistributed

The Associated Press recently reported that, “Businesses cannot collect tips given to waiters, casino dealers or other service employees to share with support staff such as dishwashers even if the tipped employees are receiving minimum wage, a federal appeals court has ruled.”

The AP said that the ruling would likely apply to the seven states requiring that workers receive the state minimum wage in addition to tips. One of those states is California.

One of the two lawsuits considered in the ruling was brought by two casino dealers against Wynn Las Vegas, who claimed the casino was sharing their tips with other employees.

Further appeals are expected.

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