Case in point: How to handle tip-pooling arrangements in Texas

You may have heard that the Department of Labor has been focusing some of its enforcement efforts on low-wage service industries, particularly restaurants and fast- food outlets. That’s true. But federal courts are also stepping in to ensure that low-wage employees get every penny they are entitled to. That’s what recently happened when the 5th Circuit Court of Appeals ruled in a tip-pooling case that the employee who makes coffee in the back (the barista) should not be participating in the restaurant’s tip pool.