Author Archives: Ashleigh R. Eames

DOL Issues New Guidance for Hospitality Employers on Tipped Employees

Earlier this month, the U.S. Department of Labor (“DOL”) issued Opinion Letter FLSA2018-27 providing updated guidance to employers on how to pay tipped employees.  The new Opinion Letter abandoned the previous 80/20 tip credit rule. The DOL’s new guidance provides no limit on the amount of time a tipped employee spends on related non-tip-producing duties so long as such duties are “performed contemporaneously with the duties involving direct service to customers or for a reasonable time immediately before or after performing such direct-service duties.”

NLRB Announces Intent to Change Joint-Employer Test

On Thursday, September 13, 2018, the National Labor Relations Board (NLRB) announced its intent to change the standard to determine joint-employment. In a September 13, 2018, news release, the Board stated that it will publish a proposed rule clarifying and restricting the standard to determine when two entities are considered a single “joint-employer” over a group of employees.  The proposed changes would limit joint-employment to employers that possess and exercise “substantial, direct and immediate control over the essential terms and conditions of employment” of another employer’s employees.  The proposed changes would also require that an employer must have exercised its …

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