Are mandatory tip-outs to cooks even allowed?

So I’m working as a server/bartender in Wyoming, and recently my bosses said we have to tip out the cooks 20% of our tips at the end of every shift. They had us vote on it as a team, but a few of us disagreed, and now we’re all stuck following what the majority decided. They even suggested that if we didn’t like it, we could quit, have our wages dropped, or start working as cooks too. Just doesn’t feel right… is this legal?

That sounds off. I don’t think they can call it ‘voluntary’ if not everyone agreed. Seems a bit forced.

Shawn said:
That sounds off. I don’t think they can call it ‘voluntary’ if not everyone agreed. Seems a bit forced.

Exactly, a true ‘voluntary’ choice shouldn’t involve voting and forcing everyone to comply.

Shawn said:
That sounds off. I don’t think they can call it ‘voluntary’ if not everyone agreed. Seems a bit forced.

If even a few of you didn’t want it, then it’s hard to call it truly voluntary.

Wait, so you’re getting taxed on tips that you’re forced to share with cooks? That doesn’t seem right at all.

Dale said:
Wait, so you’re getting taxed on tips that you’re forced to share with cooks? That doesn’t seem right at all.

Exactly. If the cooks aren’t reporting that as income but you are, something’s off.

Dale said:
Wait, so you’re getting taxed on tips that you’re forced to share with cooks? That doesn’t seem right at all.

Yeah, you should only be taxed on what you actually take home, not what goes to someone else.

They fired someone for speaking up about it? That sounds like possible retaliation, which could be illegal.

Noor said:
They fired someone for speaking up about it? That sounds like possible retaliation, which could be illegal.

Definitely sounds like retaliation. If they fired her right after she brought it up, that’s pretty suspicious.

Noor said:
They fired someone for speaking up about it? That sounds like possible retaliation, which could be illegal.

Yeah, retaliation laws usually protect employees from being let go for questioning stuff like this.

You can actually file a claim with the DOL anonymously if you’re worried about losing your job. They look into these kinds of tip issues.

Harlan said:
You can actually file a claim with the DOL anonymously if you’re worried about losing your job. They look into these kinds of tip issues.

I’m definitely considering that. Just don’t want to risk my job by being too direct about it.

Harlan said:
You can actually file a claim with the DOL anonymously if you’re worried about losing your job. They look into these kinds of tip issues.

Totally understandable. Going anonymous might keep you safer while getting them to investigate.

If they’re making you pay taxes on money that goes to cooks, the IRS might want to know. They’re strict about tip reporting.

Harlem said:
If they’re making you pay taxes on money that goes to cooks, the IRS might want to know. They’re strict about tip reporting.

For sure. The IRS takes it seriously if people aren’t claiming their actual income accurately.

Harlem said:
If they’re making you pay taxes on money that goes to cooks, the IRS might want to know. They’re strict about tip reporting.

Good idea to report it, especially if you’re being taxed on money that isn’t actually yours.