By James Boudreau, Jason Jendrewski and Riley Lagesen (March 24, 2022, 3:55 p.m. EDT) — On February 22, the U.S. District Court for the Western District of Texas denied[1] the highly-followed emergency motion by the Restaurant Law Center and the Texas Restaurant Association to ban nationwide enforcement of the U.S. Department of Labor’s new rule governing when employers can take credit for tips on the wages of their employees under federal law.
Restaurants and other businesses employing tip workers, many of whom may have taken a wait-and-see approach in light of the litigation, must now review their tip credit and pooling practices.
The DOL’s regulatory changes pose significant practical challenges for operators looking to take tip credit…
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Margarita M. Phillips 
