The Department of Labor issued an opinion letter confirming that front-of-house oyster shuckers, who interact with customers but don’t directly receive tips, may be included in a traditional tip pool with servers for whom the employer takes a tip credit.
The Fair Labor Standards Act permits employers to take a tip credit for a portion of the minimum wage for employees in occupations that customarily and regularly receive tips. An employer can require an employee for whom it takes a tip credit to contribute tips to a traditional tip pool as long as the pool is limited to employees that customarily and regularly receive tips.
In this case, DOL found that the tip pool could include oyster shuckers stationed at a front-of-house oyster bar visible to diners. These employees regularly engaged with customers by sharing recommendations and answering questions, even though they didn’t receive tips directly. DOL likened their role to that of sushi chefs or sommeliers, whose customer-facing duties qualify as tip-generating. Notably, the oyster shuckers working in the kitchen, who had little customer interaction, were not included.