The FLSA and state law often both regulate the distribution of tips. See here. Under the FLSA, an employer can require all “customarily tipped employees” to pool tips generally or require a specific “customarily tipped employee” to share tips with another “customarily tipped employee.” Disputes often arise as to whether an employee is a “customarily
tip misappropriation
Appeals Court Finds Skycaps Claims For Misappropriated Tips Preempted by Federal Law
By Noel P. Tripp on
Posted in Tips and Tipped Employees
As we previously discussed, the airline industry, like the hospitality industry, has been assailed with lawsuits alleging that tips from customers intended for certain employees—in this case, baggage handlers, a/k/a skycaps—have been misappropriated by the employer, in violation of state statutes and common law. In the airline industry, conflicting authority has emerged even within the…