Suit Hits at ‘Subminimum Wage’
Civil rights and labor lawyers filed suit today challenging California’s proposed $3.50-an-hour “subminimum wage” for thousands of waiters, waitresses and other employees who receive at least $60 a month in tips.
The suit, in the 3rd District Court of Appeal in Sacramento, contends that the wage would violate a state law that prohibits employers from being credited for employees’ tips. The new statewide minimum wage for other workers, scheduled to take effect July 1, is $4.25 an hour, up from the current $3.35. The suit seeks to invalidate the subminimum wage and apply the $4.25 rate uniformly.
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