Legal Question in Employment Law in New Jersey

There are several arrangements whereby restaurants and other businesses whose employees are compensated partially by tips will split the tips between employees who have contact with patrons (e.g., servers) and others who act in support (e.g., bussers). Whether a particular arrangement is lawful is ultimately a question for a judge. Here is what my argument would be: Tips are gratuities and intended by the customers to go to those who provide service. They can be split according to an arrangement that is disclosed to a server ahead of time but the split must still be entirely among the employees who provide service to the customer because that is the customer's intent. No part of the tip can be income to the restaurant. No part of the tip can be used to pay what the restaurant already owes such as salaries or wages. That is an opinion based on contract law but without the benefit of a search of the case law. I hope it helps.

See also: http://info.corbettlaw.net/lawguru.htm