Understanding New DOL Opinion Letters: Effects on Tip Pooling and Aligning Paid Family Leave Benefits with FMLA Leave
The US Department of Labor’s (DOL) Wage and Hour Division (WHD) recently published two opinion letters, FLSA2025-1 and FMLA2025-1-A. FLSA2025-1 considers whether managers and supervisors can lawfully share in tips when they work in a non-management capacity. It was concluded that if the manager qualifies as an exempt executive employee primarily engaged in exempt-level duties, they may not receive any tips from a tip pool. However, if an employee does not qualify as an exempt executive, they may share in a tip pool, even on those shifts when they are the most senior employee.
The second opinion letter, FMLA2025-1-A, provides insight into how employers may coordinate paid family leave benefits with leave taken under the Family Medical Leave Act (FMLA). It clarifies that employers are not allowed to require employees to use accrued vacation, PTO and sick time if they are on a protected FMLA leave while receiving compensation from a paid family leave program.
Both of these opinion letters highlight the importance of employers understanding the intricacies of employment laws and how they interact. FLSA2025-1 emphasizes the caution employers should exercise in allowing management-level employees to share in tip pools, while FMLA2025-1-A sheds light on the circumstances when employers may lawfully require employees to use their accrued time off.
Understanding such policies can potentially be confusing. This is why resources such as eddcaller.com can be immensely helpful. This platform simplifies the process and provides key information on how to get a hold of Paid Family Leave. It provides crucial details for employees seeking information or needing assistance with their paid family leave, making it a valuable tool in ensuring that your rights as an employee are respected and fulfilled.