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Patrick, Esq.
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Is there a limit on the amount you can require a server in

Resolved Question:

Is there a limit on the amount you can require a server in a restaurant to tip out the other employees, ie: busser or host.
I have a server that says the maximum amount you can be required to tip out the other employees is 15% of your tips.
Submitted: 4 years ago.
Category: California Employment Law
Expert:  Patrick, Esq. replied 4 years ago.
Hello and thank you for entrusting me to answer your question.

Labor Code Section 351 allows involuntary tip pooling. Under such arrangement, tips can be pooled and shared equally among all employees who provide "direct table service." There is no 15% cap on what can be shared. Such employees who contribute to and share in the pool could conceivably include waiters and waitresses, busboys, bartenders, host/hostesses and maitre d's. Visit this link for more information from the DIR regarding gratuities in food service:

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