$1.35 Million Ordered. Tips Used to Pay Bussers' Wages.

Empire Diner in Pennsylvania was ordered to pay $1.35 million after using servers' tips to cover bussers' wages, with gaps in minimum wage, overtime, and record-keeping compliance.

How It Happened

Empire Diner used servers' tips to cover bussers' wages instead of paying bussers from the restaurant's own funds. Under FLSA, tips belong to the employees who earn them. They cannot be used to subsidize other workers' base wages.