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I paid with a credit card, and he noticed I was filling in the tip line. He brought up that the tip doesn't actually go to them, and it's just money that goes directly to the store, not them
I don't know what the laws are about this (tip via the tip line on credit card payments), didn't ask them about it, and figured if they aren't allowed to accept tips, then the cameras set up may record me giving them cash tips and nail them for that.
Anybody hear of cases like this? To be frank, I'm skeptical that the tips paid via credit card, or if cash tips that go into a common tip pool are properly allocated to employees at the end of the day, but I guess that may be for another thread.
I paid with a credit card, and he noticed I was filling in the tip line. He brought up that the tip doesn't actually go to them, and it's just money that goes directly to the store, not them
I don't know what the laws are about this (tip via the tip line on credit card payments), didn't ask them about it, and figured if they aren't allowed to accept tips, then the cameras set up may record me giving them cash tips and nail them for that.
Anybody hear of cases like this? To be frank, I'm skeptical that the tips paid via credit card, or if cash tips that go into a common tip pool are properly allocated to employees at the end of the day, but I guess that may be for another thread.
You'd be amazed what owners can do. I once worked at a place where the owner deducted our tips from our paychecks. He said it was for our benefit, so we wouldn't have to pay taxes on them.
If you put a tip on a cc, then at some point the store needs to add them up and give that amount to the employee in cash. If they don't, there isn't much the employee can do. Many will at least deduct a percentage from it to pay cc fees.
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What kind of business was it? Some of the retail POS systems may be set up to accommodate tipping in error or by default, and they just leave it that way in the hope that some people will fall for it and add it in. If it's not a business that normally would be expected to be tipped, I would put a line through it. I still tip servers, the barber, hotel maids, and cabbies, that's about it.
What kind of business was it? Some of the retail POS systems may be set up to accommodate tipping in error or by default, and they just leave it that way in the hope that some people will fall for it and add it in. If it's not a business that normally would be expected to be tipped, I would put a line through it. I still tip servers, the barber, hotel maids, and cabbies, that's about it.
What kind of business was it? Some of the retail POS systems may be set up to accommodate tipping in error or by default, and they just leave it that way in the hope that some people will fall for it and add it in. If it's not a business that normally would be expected to be tipped, I would put a line through it. I still tip servers, the barber, hotel maids, and cabbies, that's about it.
ahh that makes a lot of sense!
I go to this place that doesn't have a tip jar but has a tip line on credit receipts. I usually pay cash when I go so I've never really noticed it until I didn't have enough cash and had to use my card.
You're not supposed to leave tips at fast food places. I'm always annoyed by some of the places that I have seen tip jars.... El Pollo Loco, gas station convenience store, etc.
What's next? Home Depot? The supermarket?
Here in the Province of Ontario, the Provincial Government recently ( with in the past 2 weeks ) passed a law that makes it a crime for an employer to take, or with hold any tips that an employee may get from a customer, regardless of the method used to give the tip.
That in my opinion is the proper way to deal with the problem.
Of course we also have a Provincial minimum wage of $11.40, and for those that serve alcohol it is $9.90.
And of course. all employees in Ontario, of any type. are covered by the Universal health care program, which is not related to employment. If you are unemployed, your health care is unaffected.
At least in the food industry it is illegal for an employer to take any employee tips, of any sort. The employer can only take off the fee for Merchant Service Providers from the credit card tips, generally this is 2-4%.
The only way an employer can legally "keep" any tips is to distribute them through a legal tip sharing system. Those tips can only go to employees who work directly with the customers. Such as waitstaff, counter employees, and busboys. Tips can not go to managers/owners who do not work directly with the customers, cooks, dishwashers, kitchen assistants, etc, and the restaurant can not force tip sharing employees to give tips to cooks, dishwashers, managers, etc... If the owner or manager is working on cleaning tables, refilling drinks, or taking orders, then and only then can they take a percentage of the tips during the time they are working those positions.
Some businesses can refuse tips altogether, but a tip is for service rendered and goes to the employee dealing directly with the customer, it is completely illegal for the business to keep those tips.
All that said, it's not uncommon at all for restaurants to take tips and not give them to employees. This is more common at restaurants that pay higher then minimum wage. Years ago, my wife worked at a small mom and pop restaurant in a small town and they paid her $9 an hour and the restaurant kept all the tips. Reality was, the tips were awful and it was probably better for my wife that way anyway, but that's not actually legal.
Laws regarding tipped employees can be complicated. For instance my state has a state minimum wage of $7.25, same as the Federal minimum wage, but waitstaff can make $4.50 an hour, but their tips have to make up for the remaining $2.75 to meet the $7.25 an hour state minimum wage. Say an employee only averages $1.75 an hour in tips, the restaurant now has to raise their wage to $5.50 an hour to meet the state minimum wage.
That's probably a little more detailed then anyone wants to know, but I figured I'd explain it from the best of my knowledge.
I avoid any question about whether the tips get distributed correctly or not by writing "in cash" in the tip line and giving the tip in cash!
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