It is often the case that employees who work in restaurants in addition to their hourly wage, also receive tips from customers. Sometimes tips are being pulled by the employer and distribute to them based on some factors such as seniority, whether employee works in the guest area, shift, and alike. The illegal practices that could arise involve implicated facts and issues of law. The violation could be investigated by the Department of Labor’s Wage and Hour Division, or California Labor Commissioner directly, or by a private attorney. These violation could include:

1. Requiring servers and bartenders to contribute a percentage of tips to a tip pool, but using the tips to pay employees for tasks, such as custodial and kitchen work.
2. Employer regularly retained a portion of employee tips.
3. Denying overtime pay to employees who worked at more than one restaurant, even when their combined hours totaled more than 40 hours in one workweek, and
4. Having employees work off-the-clock, earning tips for their labor.