Before 2018, a tip pool could not be allocated to employers, or to employees who do not customarily and regularly receive tips. These non-eligible employees included dishwashers, cooks, chefs, and janitors. In March 2018 an amendment was added to the Fair Labor Standards Act (FLSA) that allowed restaurants in a majority of states to split the split tips between front and back of house workers. Before this legislation passed there was concern of income inequality and the ability to pay rents between front and back of house workers. Over the span of 30 years since 1985 back of house workers in New York City restaurants had a compensation increase of about 25%. Meanwhile, their front of house counterpoints saw an increase of 300% in compensation. In 2015 the average wage of cooking staff in New York was $10–12, many of whom dealt with high monthly rent payments and also debt from culinary school. As seemingly low skilled front of house workers were making more money than the skilled back of house chefs, many cooks decided to switch over into serving instead.
Before 2018, a tip pool could not be allocated to employers, or to employees who do not customarily and regularly receive tips. These non-eligible employees included dishwashers, cooks, chefs, and janitors. In March 2018 an amendment was added to the Fair Labor Standards Act (FLSA) that allowed restaurants in a majority of states to split the split tips between front and back of house workers Before this legislation passed there was concern of income inequality and the ability to pay rents between front and back of house workers. Over the span of 30 years since 1985 back of house workers in New York City restaurants had a compensation increase of about 25%. Meanwhile, their front of house counterpoints saw an increase of 300% in compensation. In 2015 the average wage of cooking staff in New York was $10–12, many of whom dealt with high monthly rent payments and also debt from culinary school. As seemingly low skilled front of house workers were making more money than the skilled back of house chefs many cooks decided to switch over into serving instead.