Is it Legal for my Restaurant to do this?

M

Marissa S

New member
I have been working for a company for three years, just recently they have informed us we must claim 100% of our tips. Making me have almost a $0.00 paycheck, i am signed up for insurance and i will receive bills with late fee's if they cant take the money from my check. They also are taking shifts away and counseling waitresses that have low tip percentages, the managers will come and count our tips making sure we have claimed 100%, i don't think that this is legal. I also think that this is a way for the company to not pay as much money in payroll because of the economy. They state that this is not the case and that they are trying to save us from paying taxes at the end of the year. I feel that there hasn't been a problem in the past three years there shouldn't be one now. Also, if i choose to not claim all i make that's my issue with the government and me. Please help and let me know the legalities of this situation.
 
I agree with your assessment that the company is trying to trim payroll costs. That's the only reasonable explanation, and one that is understandable given the current economy. You will need to begin remitting insurance payments instead of relying on payroll deduction to avoid the late fees. Contact them for information on how to do so. The government puts pressure on the hospitality industry to account for tips, so I have little doubt that they have the legal authority to count them.
 
Is it legal? Yes. It could be worse, though. What if they started pooling your tips? That would mean you get to take home less tips if you are good than you normally would, and someone that doesn't make as much tips would get to take home more.

There are also a lot of people that would be happy to just have a job and would not complain about it.
 
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