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There is now additional time for Visa and Mastercard merchants to claim their share of the landmark Payment Card Interchange Fee Settlement. This settlement returns a portion of the interchange fees paid by merchants from January 1, 2004 through January 25, 2019. More than $5.5 billion has been set aside by Visa and Mastercard for this purpose.
The previous deadline to file a claim was August 30, 2024 and has now been extended to February 4, 2025.
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 In a long-awaited decision, the Department of Labor (DOL) regulation setting strict limits on the amount of time that tipped employees can spend performing work that does not directly generate tips has been struck down by the US Court of Appeals for the Fifth Circuit. The appeals court vacated the rule, voiding the provision nationwide. This is a huge win secured for the industry by the Restaurant Law Center and the National Restaurant Association, with help from the Texas Restaurant Association, which is located in the Fifth Circuit district.
The decision is welcome news to hospitality employers who have long struggled with implementing the DOL’s final "dual jobs" or "80/20" rule that disallowed the tip credit if employees spent too much time performing duties related to their so-called tip-producing duties (such as a server who also wipes tables, fills salt shakers or toasts bread). The appellate court’s decision vacating the 2021 tip rule is an important win for restaurant and hospitality industry employers who have been required to comply with seemingly arbitrary distinctions between “tip-producing” and “tip-supporting” work. Many restaurants have faced audits this year from the DOL and have been cited for not complying with the now defunct rule. Not sure what this means for your operation? Contact the AskWRA team to help you work through your questions. |
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