Tip Regulations Under the Fair Labor Standards Act (FLSA)
wage-hour · Wage and Hour Division · Published 2020-12-30 · Effective 2021-03-01 · 85 FR 86756
Document
Document number
2020-28555
Federal Register citation
85 FR 86756
CFR reference
29 CFR 10
Type
Rule
Action
Final rule.
Category
wage-hour
Sub-agency
Wage and Hour Division
Publication date
2020-12-30
Effective date
2021-03-01
Abstract
In the Consolidated Appropriations Act of 2018 (CAA), Congress amended section 3(m) of the Fair Labor Standards Act (FLSA) to prohibit employers from keeping tips received by their employees, regardless of whether the employers take a tip credit under section 3(m). In this final rule, the Department of Labor (Department) amends its tip regulations to address these amendments. The final rule also codifies the Department's guidance regarding the tip credit's application to employees who perform tipped and non-tipped duties.