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DE HB251

DE HB251
An Act To Amend Title 19 Of The Delaware Code Relating To The Delaware Minimum Wage For Employees That Receive Tips Or Gratuities.


summary

Introduced
03/12/2020
In Committee
03/12/2020
Crossed Over
Passed
Dead
06/30/2020

Introduced Session

150th General Assembly

Bill Summary

This bill clarifies that the definition of employees who receive gratuities also includes employees that receive tips, that these employees earn more than 50% of their income from tips or gratuities. This bill clarifies that employers may continue to pay a tipped minimum wage to primary direct service employees under this bill. Employers cannot direct employees to engage in tip pooling in Delawaretip pooling arrangements must be controlled by the employees themselves.

AI Summary

This bill clarifies the definition of employees who receive tips or gratuities in Delaware. It states that these employees must earn more than 50% of their income from tips or gratuities, and the occupation must involve direct receipt of tips or gratuities from customers. The bill allows employers to continue paying a tipped minimum wage to these primary direct service employees, but employers cannot direct employees to engage in tip pooling arrangements - these must be controlled by the employees themselves. The bill also specifies that tips automatically added to a bill or charged to a credit card must be paid directly to the employee at the next pay period, and employers cannot deduct any service fees from the employees' tips or gratuities.

Committee Categories

Business and Industry

Sponsors (11)

Last Action

Adopted in lieu of the original bill HB 251, and Assigned to Economic Development/Banking/Insurance & Commerce Committee in House (on 03/12/2020)

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