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Alabama woman works to help returning citizens rebuild their lives; Marist polls: Harris leads Trump in Michigan, Wisconsin; they're tied in Pennsylvania; UAW contract negotiations at VW focus on healthcare, safety, wages; NC dentists warn of crisis due to low Medicaid reimbursement rates.

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The Teamsters choose not to endorse a presidential candidate, county officials in Texas fight back against state moves to limit voter registration efforts, and the FBI investigate suspicious packages sent to elections offices in at least 17 states.

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A USDA report shows a widening gap in rural versus urban health, a North Carolina county remains divided over a LGBTQ library display, and Minnesota Gov. Tim Walz' policies are spotlighted after his elevation to the Democratic presidential ticket.

New Trump Tip Rules Could Mean Lower Pay for Women Waiting Tables

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Monday, January 22, 2018   

CHARLESTON, W.Va. — New research says the take-home pay for women who wait tables in West Virginia could go from bad to worse if a proposed Trump administration rule is adopted.

The Department of Labor wants to rescind Obama-era rules barring employers from making workers hand over their tip income. A report by the Economic Policy Institute says the change could cost tipped workers $4.6 billion a year.

Study co-author Heidi Shierholz said women would take 80 percent of the hit.

"Tipped workers are going to see a huge hit to their take-home pay, and employers will be enriched," Shierholz said. "Because the vast majority of tipped workers are women, because women earn lower wages, they are far more disproportionately harmed by this rule."

The administration defends the change as a fairness issue, saying it will facilitate tip pooling, where businesses like restaurants share the wait staff's tips with other workers, like dishwashers and cooks. However, nothing in the rule prevents employers from simply pocketing the tips, as long as everyone makes at least minimum wage.

The public comment period on regulations.gov ends February 5.

If West Virginia waitstaff get tips, restaurant owners can pay them 70 percent of the state minimum wage of $8.75 an hour. Under the new rule, any tips that raise the employee's pay above the minimum could be collected by the owners.

Shierholz said she thinks the rule change won’t end up helping non-tipped workers, either.

"They're already paying those workers what they need to get workers in those jobs,” she said. “And so, if they do share any tips with workers at the back of the house, it will very likely be offset with declines in their base pay."

She added the administration didn't conduct an economic analysis of this rule change, which is required by law. That could become the basis of a lawsuit to stop the change - if the administration finalizes the rule.


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