Finding it wholly inconsistent with the statute and the regulation it purports to interpret, the Ninth Circuit has held invalid the United States Department of Labor’s “80/20” tip credit rule, or “20% Rule,” which limits the availability of the tip credit when tipped employees spend more than 20% of their time performing allegedly non-tip generating duties.
Home > Federal Law Articles > FLSA > Industries and Occupations > DOL’s “80/20” Tip Credit Rule Entitled to No Deference, Ninth Circuit Holds, Creating Circuit Split