77R9887 JMM-F
By Maxey H.B. No. 94
Substitute the following for H.B. No. 94:
By Solis C.S.H.B. No. 94
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to certain workplace posting requirements regarding the
1-3 payment of wages to tipped employees; providing an administrative
1-4 penalty.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Subchapter A, Chapter 61, Labor Code, is amended
1-7 by adding Section 61.006 to read as follows:
1-8 Sec. 61.006. NOTICE REQUIREMENTS AFFECTING TIPPED EMPLOYEES;
1-9 ADMINISTRATIVE PENALTY. (a) In this section, "tipped employee" has
1-10 the meaning assigned by Section 62.052.
1-11 (b) The commission shall prescribe a notice containing the
1-12 information required by this section. An employer who employs
1-13 tipped employees shall post the notice in conspicuous places in the
1-14 workplace in addition to the notice required under Section
1-15 61.012(c). The notice required under this section for an employer
1-16 of a tipped employee shall be prescribed by the commission in a
1-17 single notice that also contains the information required by
1-18 Section 61.012(c).
1-19 (c) The notice must contain:
1-20 (1) a statement that deductions from wages must be
1-21 authorized in writing or be ordered by a governmental entity;
1-22 (2) information informing employees of the
1-23 requirements of Subsection (d) regarding the computation of
1-24 overtime wages;
2-1 (3) a statement that a deduction, other than a
2-2 deduction ordered by a governmental entity, may not be made that
2-3 reduces an employee's wages below the minimum wage;
2-4 (4) a statement that a deduction may not be made from
2-5 tipped income except as ordered by a governmental entity or except
2-6 for a tip pooling arrangement among employees who customarily and
2-7 regularly receive tips;
2-8 (5) a statement that only tips that are in excess of
2-9 tips used for the tip credit may be contributed to a tip pool;
2-10 (6) a statement that a tipped employee is not required
2-11 to share the employee's tips with other employees who have not
2-12 customarily and regularly participated in tip pooling arrangements,
2-13 including dishwashers, cooks, chefs, and janitors;
2-14 (7) a statement that a tipped employee is not required
2-15 to contribute more to a tip pool than is customary and reasonable;
2-16 (8) a statement that an employee who is routinely
2-17 assigned to perform maintenance or is required to spend more than
2-18 20 percent of the employee's time performing general preparation
2-19 work or maintenance that is unrelated to the duties for which a tip
2-20 is received may not have a tip credit taken for the hours in which
2-21 the unrelated duties are performed;
2-22 (9) a statement that a tipped employee is not required
2-23 to compensate the employer for any breakage, walkout without
2-24 payment by a patron, complimentary meal, or economic loss unless
2-25 ordered by a governmental entity;
2-26 (10) a statement that the law forbids any arrangement
2-27 between the employer and the tipped employee in which any part of
3-1 the tip received becomes the property of the employer, that a tip
3-2 is the sole property of the tipped employee, and that if an
3-3 employer does not strictly observe the tip credit provisions of
3-4 federal law, a tip credit may not be claimed and the employees are
3-5 entitled to receive the full minimum wage and to retain all tips
3-6 they should have received;
3-7 (11) the following statement: "If you believe that
3-8 your rights are being violated, you may contact the Texas Workforce
3-9 Commission for assistance.";
3-10 (12) the telephone number of the commission; and
3-11 (13) the Internet address for the labor law
3-12 information page of the commission's Internet site.
3-13 (d) For purposes of Subsection (c)(2), the notice must
3-14 describe the computation of overtime wages as the dollar amount
3-15 resulting from subtracting the tip credit from the product of the
3-16 federal minimum wage multiplied by 1-1/2.
3-17 (e) If on the basis of a complaint received by the
3-18 commission, the commission determines that an employer who employs
3-19 tipped employees acted in bad faith in failing to post a notice as
3-20 required by this section, the commission may assess an
3-21 administrative penalty against the employer in an amount not to
3-22 exceed $1,000 for each violation. The commission may assess an
3-23 administrative penalty for a violation under this subsection in the
3-24 manner provided by Section 51.033.
3-25 SECTION 2. (a) Except as provided by Subsection (b) of this
3-26 section, this Act takes effect September 1, 2001.
3-27 (b) Section 61.006(e), Labor Code, as added by this Act,
4-1 takes effect September 1, 2002.
4-2 (c) The Texas Workforce Commission shall prescribe a notice
4-3 that complies with the requirements of this Act and make the notice
4-4 available to affected employers not later than January 1, 2002.