If you a tip-earning employee in the District of Columbia, your employer will have to comply with the new notice, reporting and training requirements stipulated under the Tipped Wage Workers Fairness Amendment Act of 2018. The Act’s goal is to protect the rights of tipped workers and it sets forth new requirements for all employers of tipped workers in the District, including the following:
- Provide notice to tipped workers of tip-sharing policy – employers must distribute materials concerning the rights of tipped workers to all of their employees. Employers cannot take the tip credit against tipped employees’ wages unless they provide certain written notices to the employees, including, but not limited to: (1) information regarding the tipped minimum wage and regular minimum wage; (2) if tips are not shared, notice that the tipped employee shall retain all tips received; (3) if the tips are shared, provide the tip-sharing policy; (4) the percentage by which tips paid via credit card will be reduced by credit card fees;
- Display employee rights notice - all employers (not just those with tipped workers) must display a poster, in a conspicuous place, that contains website addresses that provide information about employees’ right under anti-discrimination and labor laws, and that contains a list of the anti-discrimination, labor, and federal laws, the hourly minimum wage, and the hourly tipped minimum wage;
- Implement mandatory sexual harassment training – non-managerial new hires must receive training, which includes how to respond to sexual harassment by coworkers, management and patrons, in person or online no later than 90 days after the date of hire;
- Develop a sexual harassment policy and report – employers must document all instances of reported sexual harassment, including whether the harasser was a non-managerial employee, managerial employee, owner, or operator. No later than July 1, 2019, and annually thereafter, employers must report to the Office of Human Rights the instances of reported sexual harassment;
- Utilize a third-party payroll service for tipped employees starting January 1, 2020 - The payroll service must submit a quarterly report to the Mayor within 30 days of the end of each quarter that certifies that each tipped worker was paid at least minimum wage (including tips);
- Issue tipped employees an itemized pay statement – the itemized statement must include (1) the date of the wage payment; (2) gross wages paid; (3) deductions from and additions to wages, including a separate line for gratuities; (4) net wages paid; (5) hours worked during the pay period; (6) employee’s tip-declaration form for the pay period, delineating cash tips and credit-card tips; (7) any other information as the Mayor may prescribe by regulation; and
- Attend training pertaining to the Act – all employers, business owners, and operators of businesses who employ tipped workers must attend annual in-person or online training on the requirements of the Act.
If you are a tip-earning employee and believe that your employer violated your rights, contact Lebau & Neuworth at (410) 296-3030 or lebauneuworth.com/contact-us.
