Can Restaurants Use Tip Credit Wages for Non-Tipped Work?

If you have ever waited tables then you know, that the Fair Labors Standards Act(FLSA) allows an employer to pay an employee a lower hourly rate if they receive enough tips to put them over the minimum wage amount. This can work great for both the employer and the employee if it is a restaurant/bar with good tippers. However, we have handled numerous cases over the past years where greedy employer try to skirt the law to make it even better for them. Some of the most common tip pool violations we see are:

1. Making the employee share their tips with managment and traditionally non-tipped employees
2. Employee does not make enough tips to reach an average of minimum wage
3. Paying the server the tip wage for non-tipped work. (ex. you have to clean the restaurant after close).

4. Not paying more for overtime work.

If you believe you have been the victim of a Tennessee Tip Pool Wage Violation please feel free to contact our office. We can usually tell fairly quickly if you have a case or not. Sometime people just need to know if they are being treated in accordance with the law and our Tennessee Overtime Pay Lawyers can help.

Author Bio

Jim Higgins, founder of the Higgins Firm, is a seasoned personal injury attorney with deep roots in Nashville, Tennessee. A 4th generation Nashvillian, Jim carries on the legal legacy of his father, a judge for over 30 years. After graduating from the University of Memphis School of Law, Jim’s career began on the other side of the courtroom, defending insurance companies and learning their tactics for minimizing settlements. However, he soon realized his true calling was fighting for the rights of the injured, and for the past several years, he has exclusively represented plaintiffs in personal injury cases.

Since then, his dedication and skill have earned him membership in the prestigious Million Dollar Advocates Forum, an organization limited to attorneys who have secured million and multi-million dollar verdicts and settlements for their clients. Licensed to practice in Tennessee, Kentucky, and Georgia, Jim focuses on personal injury, product liability, medical malpractice, and workers’ compensation cases. His exceptional work has been recognized by his peers, earning him a spot on the Super Lawyers list from 2021 to 2024, a distinction awarded to only a select group of accomplished attorneys in each state.

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