Ohio Tipped Employees Attorney / FLSA Lawyer for Tipped Employees
Employers are further prohibited by both federal and state law from failing to properly pay their tipped employees. Our Columbus Unpaid Wages Lawyers frequently represent tipped employees in the service industry, including but not limited to waiters, bartenders, restaurant employees, hospitality employees, and any other tipped employees. We often find that their employers fail to properly follow the wage requirements that govern tipped employees. Employers of tipped employees (employees who regularly receive at least $30 per month in tips) get a “tip credit” under the FLSA and Ohio law, which allows them to pay their tipped employees less than the current minimum wage ($7.25/hour under federal law and $10.10/hour under Ohio law as of 2023). The employers are taking a “credit” for the tips the employee receives so that the employee is still making at least minimum wage even though the employer is paying something less than the minimum wage per hour.
Under federal law, the minimum base wage the employer still must pay its tipped employees is $2.13 per hour. Under Ohio law, the minimum base wage the employer still must pay its tipped employees is $5.05 per hour (half the Ohio minimum wage of $10.10). As of January 1, 2024, the tipped employees hourly rate will increase to $5.25. However, employers often violate the tipped employees laws in a number of ways. First, before employers may even take the “tip credit” which allows them to pay their tipped employees something less than the minimum wage, the employers must provide a proper tip credit notice. If they fail to provide proper notice as legally required, the tipped employees may have claims for unpaid wages against their employers. Further, the law requires that the tipped employees make at least the minimum wage for every hour worked when you add their hourly wage paid by their employer and their tips actually received. Therefore, if a tipped employee makes so little in tips that the employee’s hourly rate does not at least meet the minimum wage after accounting for both tips and hourly wages, the employer is required by law to pay the difference. There are number other ways that employers violate the law on paying tipped employees properly, such as improper tip “pooling” or requiring tipped employees to perform other job duties that does not result in tips.
If you believe you may have a claim as a tipped employee or that your employer may have violated its obligations to properly pay you as a tipped employee, contact our Columbus Tipped Employee Lawyers (FLSA) today to discuss your legal rights. You may have a valid unpaid wages claim and speaking with an Ohio tipped employee attorney will ensure you know your rights.