Update to Davis-Bacon law pending
The U.S. Department of Labor (DOL) has submitted a proposal to the White House’s Office of Management and Budget (OMB) to update the 1931 Davis-Bacon Act, which requires workers on federally funded construction projects to receive prevailing wages and benefits. Building trade unions have long sought change to the way the Act has been administered and enforced. The final rule could redefine how employers determine what constitutes “prevailing wages” that must be paid when the federal government finances an infrastructure project.
New final rule for tipped workers issued
The DOL reinstated the Obama-era rule that requires tipped employees like servers and bartenders who spend at least 20 percent of their workweek on duties that don’t directly produce tips be paid the full minimum wage of $7.25 per hour rather than the $2.13 per hour for tipped employees receiving tips (https://bit.ly/3e2ymiv). The inter-pretation, also known as the 80/20 rule, takes effect December 28. The new rule now provides that tipped workers will be owed the full minimum wage when fulfilling side tasks for at least 30 continuous minutes.
Restaurant groups sue over tip rule