JasonDSlade.com

I learned something very interesting today. I was actually in the lunch room waiting for my lunch to heat up in the microwave. There is a poster on the wall that details the laws for labor. Employees who work at restaurants that have gratuity as part of their pay only get $2.13 an hour. I knew this was a considerable issue because I have known of a couple people within the restaurant industry. I can understand the complaints with this wage. The minimum wage as dictated by the United States Congress is $7.25. The difference between $7.25 and $2.13 is $5.12, or in terms of a 40 hour work week that would be $1160 vs $340.80 a month. Honestly, how can one justify this kind of treatment?

I found the answer today. If the job has gratuity included, the minimum wage is $2.13 plus the gratuity. If the gratuity and the $2.13 per hour does not equal what the person would make if they worked at minimum wage, the company/employer must compensate the employee with the difference.

Here is the wording from the Fair Labor Standards Act Poster

Employers of “tipped employees” must pay a cash wage of at least $2.13 per hour if they claim a tip credit against their minimum wage obligation. If an employee’s tips combined with the employer’s cash wage of at least $2.13 per hour do not equal the minimum hourly wage, the employer must make up the difference. Certain other conditions must also be met.

Related Links:

http://www.dol.gov/whd/regs/compliance/posters/minwagep.pdf

http://www.dol.gov/elaws/flsa.htm