What Qualifies as Tip Mismanagement?

Tips are additional payments given directly by customers to workers, often as a reward for quality service. These payments play a significant role in industries such as hospitality, food service, and personal care, where they can constitute a significant portion of an employee's income. Unlike wages set by employers, tips are voluntary contributions that are meant to directly reward the employee for their efforts and enhance their earnings. For many workers, tips are not just bonuses but a critical part of their compensation. As such, the management and distribution of tips must adhere to specific legal frameworks to ensure that employees...