Paul DeCamp, Member of the Firm in the Employment, Labor & Workforce Management practice, in the firm’s Washington, DC, office, was quoted in Law360, in “New DOL Tip Rule Would Cost Workers $700M, Group Says,” by Braden Campbell. (Read the full version – subscription required.)
Following is an excerpt:
The U.S. Department of Labor’s plan to lift a limit on the amount of cleaning and other nontipped tasks service workers can do and still be paid the lower “tipped” minimum wage will cost workers hundreds of millions of dollars, a workers’ advocacy group said. …
But this talk of the DOL costing workers tips is based on a flawed assumption, namely that the 80-20 rule is valid law, said Epstein Becker Green wage-and-hour practice group Co-Chair Paul DeCamp. Not only did the DOL eschew the rule in November 2018 guidance, the agency agreed not to enforce it as a condition of resolving a legal challenge DeCamp brought with the National Restaurant Association, he said.
“The 80-20 rule is not the law and has not been the law for quite some time, if it has ever been the law,” DeCamp said.
DeCamp conceded that some judges have rejected the guidance nixing the 80-20 rule. But a regulation would carry more force, he said.