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Chris Nickels Quoted in Law360 Employment Authority Article about DOL Tipped Credit Rule

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Chris Nickels, a partner in the Quarles & Brady Labor & Employment Practice Group, was quoted in a Law360 Employment Authority article about the impact of the Department of Labor’s (DOL) tipped credit rule, two years after it was issued.

The rule is designed to provide wage protections for tipped workers, including the 80/20 principle, which means employers must pay the full minimum wage to a tipped worker who spends more than 20% of their time on work not directly connected to tip-producing work. Nickels said some employers are choosing to pay the full minimum wage rather than spend the time tracking the 80/20 split.

An excerpt: 

Even the fate of the tipped credit rule remains uncertain. In August, the Restaurant Law Center and the Texas Restaurant Association filed a notice of appeal of a Texas federal court's decision denying the groups' bid to challenge the 2021 rule.

Some employers who find the 80-20 rule too difficult to track may pay the full minimum wage, said Chris Nickels, a partner who represents employers with firm Quarles & Brady LLP.

"I think to some degree, you are seeing that, although I wouldn't say it's widespread," he said. "Tipping culture is getting bigger."


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