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Federal plan for hourly employee tips opposed in several states

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Money and receipt being placed on the payment binder for payment of a meal.

CHICAGO – Attorneys general in over a dozen states oppose a federal Department of Labor proposal to let employers control the tips of some hourly employees.

The attorneys general filed comments in opposition with federal officials on Monday.

Illinois Attorney General Lisa Madigan called the proposal that rescinds a 2011 rule “outrageous” and likened it to wage theft.

The plan applies to employees paid the federal minimum wage, which is $7.25 an hour. In Illinois, about half a million workers could be affected.

Attorneys general in the following states and the Distrit of Columbia oppose the plan: California, Connecticut, Delaware, Illinois, Iowa, Maine, Maryland, Massachusetts, New York, North Carolina, Oregon, Pennsylvania, Rhode Island, Washington, Vermont and Virginia.

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