U.S. Rep. Steve Womack (R-AR) and U.S. Sen. Mike Braun (R-IN) have introduced the Tipped Employee Protection Act of 2022 (H.R.9523), which seeks to protect and preserve the tipped wage and job opportunities.
The legislation is slated to amend the Fair Labor Standards Act of 1938 to revise the definition of the term tipped employee, among other actions.
“The consequences of this Biden administration rule include layoffs and cut wages,” Braun said. “With an ailing economy and soaring inflation, the heavy hand of the federal government clawing into the pay of hard-working Americans is the last thing restaurant workers need. Our bill brings much-needed certainty to servers by protecting their income and job opportunities.”
Bill provisions include amending the FLSA to establish a more explicit definition of the term tipped worker by removing interpretive language, providing additional clarity and simplicity in categorizing individuals as tipped employees; restricting the ability of judges or the administration to set arbitrary limits or requirements in classifying the hours or duties a tipped employee performs; and preserving the tipped wage and the protection in the FLSA that tipped employees that receive at least the minimum wage between the addition of an employer-paid cash wage of $2.13 and tips.
“The Biden administration’s confusing compliance rule creates an unnecessary reporting burden for restaurants that are already going through a difficult time,” Braun said. “This legislation will help streamline regulations for tipped employees so that restaurants and their workers can thrive.”