Tip Information
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Stolen Tips
Interest & Penalties
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California Tip Protection Laws
Labor Code 351 - Tips are the sole property of the employee. Employers and their agents (including managers) cannot collect, take, or receive any gratuity left for employees.
Labor Code 353 - Tip pooling rules: Tips can only be shared among employees who provide direct table service. Employers cannot mandate tip sharing with non-service employees.
2022 Tip Protection Act - Strengthened protections against tip theft. Employers who violate tip laws are liable for the full amount of tips plus interest and may face civil penalties.
Labor Code 203 - Waiting time penalty: If tips owed at termination aren't paid, employee can recover up to 30 days' wages as a penalty.
PAGA (Labor Code 2698+) - Private Attorneys General Act allows employees to recover civil penalties of $100 per employee per pay period for initial violations.
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