As of January 1, 2016, tipped employees (those who receive more than $20 a month in tips) must be paid a minimum of $3.35 per hour, provided that, with tips, the employee receives at least $10.00 per hour. If the total hourly rate for the employee, including tips, does not equal $10.00, then the employer must make up the difference.
Under Mass. General Laws, c.149, s.152A, an employer may require service employees, wait staff, and service bartenders to pool their tips, provided that the funds are distributed only to other service employees, wait staff, or service bartenders. Total proceeds of a tip or service charge imposed by an employer must be remitted only to service employees, wait staff or service bartenders in proportion to the service provided by those employees. Under no circumstances may management employees or owners receive any portion of their employees' tips.
Advisory on Wages and Tips
On June 10, 2004, "An Act Protecting the Wages and Tips of Certain Employees" was signed into law. Chapter 125 of the Acts of 2004. The Act replaced the existing tip law and made several changes to the enforcement provisions of four wage and hour statutes. The purpose of this advisory is to explain and clarify the provisions of the Act. The following statutes are affected: M.G.L. c. 149, s. 27C; M.G.L. c. 149, s. 27B; M.G.L. c. 151, s. 15; M.G.L. c. 149, s. 150; M.G.L. c. 149, s. 152A; M.G.L. c. 149, s. 159A.
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