My girlfriend just got a job at a small restaurant in town. Customers order at the counter and food is delivered to the table. Tips are taken on credit card transactions and in a tip jar. Two people work the counter, make espresso, and deliver food, two people cook in the back kitchen. The family who owns it generally work the kitchen, sometimes with another prep cook.
The restaurant pays minimum wage and the owners keep all tips. They say that they don't pay themselves salary so they need the tips, of course they make all of the profit from the business so paying themselves salary or not doesn't affect their income.
Is this legal? Isn't a customer facing employee who gets a tip entitled to that tip?
The restaurant pays minimum wage and the owners keep all tips. They say that they don't pay themselves salary so they need the tips, of course they make all of the profit from the business so paying themselves salary or not doesn't affect their income.
Is this legal? Isn't a customer facing employee who gets a tip entitled to that tip?
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