§ 28-14.1-1. Definitions. Whenever used in this chapter: (1) “Employer” means any individual, firm, partnership, association, joint stock company, trust, corporation, receiver, or other like officer appointed by a court of this state, and any agent or officer of any of the previously mentioned classes, employing any person in this state. (2) “Service charge” means […]
§ 28-14.1-2. Restrictions on tip pooling. (a) A tip is the sole property of the tipped employee. Any arrangement between the employer and the tipped employee whereby any part of the tip received becomes the property of the employer is prohibited. (b) The requirement that an employee must retain all tips does not preclude a […]
§ 28-14.1-3. Service charges. Service charges are part of the employer’s gross receipts. Sums distributed to employees from service charges cannot be counted as tips received, but may be used to satisfy the employer’s minimum wage and overtime requirements pursuant to the provisions of §§ 28-12-4.1 and 28-12-5. If an employee receives tips in addition […]
§ 28-14.1-4. Credit cards. Where tips are charged on a credit card and the employer must pay the credit card company a percentage on each sale, the employer may deduct that percentage from the employee’s tips, provided that the employer notifies the employee of the deduction. This charge on the tip may not reduce the […]
