There is no private right of action for violations of a recordkeeping regulation for restaurant industry employers that take the tip credit against the minimum wage for tipped employees, the Connecticut Appellate Court has held under state law. Nettleton v. C & L Diners, LLC, No. AC-44554 (Conn. App. June 6, 2023).
The Appellate Court also ruled that a fact-intensive analysis is required to determine whether a tipped employee’s duties are incidental to their role as a server or, rather, must be counted as “nonservice” work for tip credit purposes.
Connecticut § 31-60 (b) allows restaurant employers to take a tip credit against the state’s hourly minimum wage rate for employees who “regularly and customarily” receive tips from customers.
Section 31-62-E3 (“E3”) of the state’s minimum wage regulations sets forth recordkeeping provisions for employers that take the tip credit. Prior to September 24, 2020, the regulations provided that employee gratuities must be ‘‘recorded on a weekly basis” and that employers claiming the tip credit must “obtain a weekly statement signed by the employee attesting that he has received in gratuities the amount claimed as credit for part of the minimum fair wage.”
After the events that gave rise to this case, Connecticut’s tip recordkeeping regulation was amended on September 24, 2020. Now, restaurants may record gratuities on a daily, weekly, or biweekly basis.
The defendant restaurant requires servers to record the...
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