HB1564 (2006) Detail

Prohibiting mandatory tip charges for small parties.


HB 1564 – AS INTRODUCED

2006 SESSION

06-2894

06/10

HOUSE BILL 1564

AN ACT prohibiting mandatory tip charges for small parties.

SPONSORS: Rep. Rosen, Belk 4

COMMITTEE: Labor, Industrial and Rehabilitative Services

ANALYSIS

This bill prohibits mandatory tip charges for parties of fewer than 8 people.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

06-2894

06/10

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Six

AN ACT prohibiting mandatory tip charges for small parties.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Minimum Hourly Rate; Mandatory Tip Charges Prohibited for Small Parties. Amend the introductory paragraph of RSA 279:21 to read as follows:

279:21 Minimum Hourly Rate. Unless otherwise provided by statute, no person, firm, or corporation shall employ any employee at an hourly rate lower than that set forth in the federal minimum wage law, as amended, or as follows, whichever is higher:

Date Hourly Rate

April 1, 1991 to September 30, 1996 $4.25

October 1, 1996 to August 31, 1997 $4.75

On and after September 1, 1997 $5.15

Tipped employees of a restaurant, hotel, motel, inn or cabin, who customarily and regularly receive more than $20 a month in tips directly from the customers will receive a base rate from the employer of not less than $2.38 per hour. With any change to the minimum wage after the effective date of this section, the employer is responsible to pay employees $2.38 per hour or 45 percent of the applicable minimum wage whichever is higher. An employer may not impose a mandatory tip or other gratuity charge on meals served to parties of fewer than 8 members. If an employee shows to the satisfaction of the commissioner that the actual amount of wages received at the end of each pay period did not equal the minimum wage for all hours worked, the employer shall pay the employee the difference to guarantee the applicable minimum wage. The limitations imposed hereby shall be subject to the following exceptions:

2 Effective Date. This act shall take effect 60 days after its passage.