Attempting to provide clarity to a subject that is a regular source of litigation, the Court of Appeals for the Fifth Circuit has issued an extended, detailed analysis addressing the circumstances under which an employee’s position is “customarily and regularly” tipped for purposes of participating in a valid tip pool under 29 U.S.C. § 203(m).

The Department of Labor often challenges an employer’s independent contractor classification, even when such classification is a matter of long-standing, industry practice.  Such disagreements can result in DOL audits or even DOL litigation seeking alleged unpaid minimum wage and overtime, as well as private enforcement actions. In a recent victory for employers involving litigation brought