If an employee's tips and direct employer payment does not equal the minimum wage,the employer must make up the difference.

Question

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This is a requirement of the Fair Labor Standards Act (FLSA) which sets a minimum wage of $7.25 per hour. If an employee's tips and direct employer payment do not add up to at least $7.25 per hour, the employer must make up the difference to ensure the employee is receiving at least the minimum wage.

If an Employee's Tips and Direct Employer Payment Does Not