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Wage and Hour Laws Blog

Posts tagged Guidance.

USDOL has finally clarified the so-called “20% Rule” limiting the use of the FLSA tip credit even with respect to individuals qualifying as “tipped employees”.

In an opinion illustrating the tangled web we weave when de-facto legislation takes place outside of Congress, the Ninth Circuit in Marsh v. J. Alexander's gave deference to the USDOL's sub-regulatory "20% Rule", restricting an FLSA tipped employee's activities, essentially on the basis that the agency's position was previously available online and that employers were therefore presumed to have notice of its potential effect.

From FLSA enforcement programs to compliance resources, the USDOL has stepped up and provided timely guidance that ultimately can benefit everyone, if employers understand what the various materials do and do not say.

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