How Smart Operators Reduce Tipped Labor Costs Following 80/20 and 30-Minute Labor Rules

Changes to the employer’s tip credit for tipped employees is a hot topic in the hospitality industry as businesses look for ways to maintain compliance and avoid hefty penalties, while keeping labor costs in check. The U.S. Department of Labor’s Final Rule amends the Fair Labor Standards Act (FLSA) for tipped employees to clarify that