TIP CREDIT Update (1/19)

The New York State Department of Labor (DOL) has still not decided whether or not to eliminate or change the sub-minimum wage for tipped workers.

Under New York law, tipped workers can be paid less than minimum wage by employers who must make up the difference if it is not covered by tips. The Governor still feels that eliminating the tip credit will
protect immigrants and others from wage theft. It has been reported that restauranteurs oppose the elimination of the tip credit as do fast food workers and carwash owners who use the tip credit.

Here’s a link to the DOL’s website that outlines the hourly wage rate as well as the cash wage paid by an employer and the credit for tips received.
https://www.labor.ny.gov/formsdocs/wp/part146.pdf

For any additional information on the tip credit contact the New York State Department of Labor at https://www.labor.ny.gov/home/

Walt Hartl,
NYSCWA President

Tip Credit Talking Points