Employers of Tipped Workers Advised to be Ready for More Recordkeeping

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Employers that take advantage of the “tip credit” will have to monitor and document their tipped employees’ tasks much more closely than they have in the past under a new rule from the U.S. Department of Labor (DOL).

The new rule, which takes effect December 28, says employers may take a tip credit only for the hours an employee is doing tip-producing work or engaged in tasks that directly support tip-producing work. Also, the rule places limits on how much time an employer can have a worker spend on tasks that support tip-producing work if the employer uses the

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