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Judge Lefkow Refuses Miller’s Pub Server’s Claim hat American Express Tip Deduction Violates Wage and Hour Laws



Credit Card Charge Can Be Shifted to Employee by Restaurant


There is no violation of §203(m), the minimum wage provision of the Fair Labor Standards Act, if a tipped employee’s tips are reduced by the discount charged by a credit card.  Because a large portion of restaurant meal bills are paid by credit card, this is no small amount.  Gillis v. Twenty-Three East Adams Street Corp. 2006 WL 573905 (N.D. Ill., March 6, 2006)