The Ins and Outs of Tip Pooling in California

The Ins and Outs of Tip Pooling in California

Did you know that California is one of the few states that prohibits employers from taking a portion of their employees’ tips? However, tip pooling is still allowed as long as certain conditions are met.

Tip pooling is when a group of employees, such as servers, bartenders, and bussers, combine their tips and distribute them among themselves. This is a common practice in the service industry, but it’s important for employees to know their rights when it comes to tip pooling.

In California, employers are not allowed to take any portion of their employees’ tips, but they can require that a certain percentage of tips be put into a tip pool. The pool must be limited to employees who regularly receive tips, and managers and supervisors are not allowed to participate in the pool.

Employees also have the right to know how the pool is being distributed and to object to the distribution if they believe it’s unfair. Additionally, employees should be able to see the pool’s records and have a say in how it’s managed.

It’s important to note that employers are not allowed to use tip pooling as a way to make up for unpaid wages. If an employee is being paid less than minimum wage, their employer must make up the difference with their own funds, not by taking a portion of the employee’s tips.

Understanding Your Rights When It Comes to What You’re Owed In Tips

It’s essential for employees in California to understand their rights when it comes to tip pooling. If you have any questions about your rights or believe that your rights have been violated, please reach out to Salusky Law Group at (562) 855-0004. Don’t let your hard-earned tips be taken unfairly.