TITLE XXIII
LABOR

CHAPTER 279
MINIMUM WAGE LAW

Hourly Rate

Section 279:26-b

    279:26-b Tip Pooling and Sharing. –
I. Tips are wages and shall be the property of the employee receiving the tip and shall be retained by the employee, unless the employee voluntarily and without coercion from his or her employer agrees to participate in a tip pooling or tip sharing arrangement.
II. No employer is precluded from administering a valid tip pooling or tip sharing arrangement, including suggesting reasonable and customary practices, documenting agreed upon practice, and mediating disputes between employees regarding a valid tip pooling or tip sharing arrangement, provided that the employer does not require or coerce employees to participate in the tip pooling or tip sharing arrangement.
III. Nothing shall preclude employee participants in a tip pool from agreeing, voluntarily and without coercion from the employer, to provide a portion of the common pool to other employees, regardless of job category, who participated in providing service to customers.

Source. 2007, 263:119, eff. June 29, 2007. 2012, 79:2, eff. July 22, 2012. 2017, 198:1, eff. Sept. 3, 2017. 2023, 176:2, eff. Sept. 26, 2023.