Expert: Shirley McAllister, CPP, PHR - 12/2/2008

Question
I am from Michigan. I work for a restaurant and they force the servers to tip-out the bartenders, bussers, and food runners. On some occasions there are no bussers, or food runners and we are still forced to tip-out. My question is, Can the management do that? And are they required to re-pay the amount of the tip-out when no one was in the position that was tipped out? Also, is there a set amount that they can require to tip-out to the bar, cause on occasion the tip-out to the bar is more than the services rendered from the bar?

Answer
You only need to tip out those that are actually involved in serving the customers.

Here are the rules from the state of Michigan.  They do not list a percentage. It does appear that it has to be an arrangement approved by the employees and the employee has entered into the arrangement voluntarily.


For the purpose of allowing credit for gratuities received by employees, the amount of gratuities received
by an employee shall be either of the following:
(a) All gratuities received directly from guests, patrons, or customers, if the employee has not consented to participate
in a tip pooling arrangement.
(b) All gratuities received after redistribution in accordance with a voluntary tip pooling arrangement between or
among employees who customarily and regularly receive tips. The employment records shall contain consent
statements signed by all participating employees authorizing the tip pooling arrangement. The consent statement shall
be to the effect that the employee consents to the pooling and redistribution arrangement. It should also indicate the
specific amount received by the employee as the result of the pooling arrangement.
(2) All gratuities received in accordance with a voluntary tip pooling arrangement shall be redistributed to those
employees participating in the tip pool.
(3) Omitted
R 408.705 Omitted
R 408.706 Complaint; filing date, time limitation.
Rule 6. (1) A complaint shall be considered filed with the department as of the date it is received by the department.
(2) A claim must be filed with the department within 3 years from the date the wages were due and owing to the
employee.

Shirley