Current Minimum Wage on Tipped Workers in Louisiana

1. What is the current minimum wage for tipped workers in Louisiana?


The current minimum wage for tipped workers in Louisiana is $2.13 per hour.

2. Is there a difference between the tipped minimum wage and regular minimum wage in Louisiana?


Yes, there is a difference between the tipped minimum wage and regular minimum wage in Louisiana. The regular minimum wage in Louisiana is currently $7.25 per hour, while the tipped minimum wage is $2.13 per hour. This means that employees who receive tips may be paid a lower hourly rate by their employer, as long as their tips bring their total hourly earnings to at least the regular minimum wage.

3. How much do tipped workers make per hour in Louisiana?


The minimum wage for tipped workers in Louisiana is $2.13 per hour, so this is the minimum amount they could potentially make per hour. However, if their tips do not bring their total hourly earnings up to the state or federal minimum wage (whichever is higher), their employer is required to make up the difference. Therefore, actual earnings for tipped workers in Louisiana may vary depending on tips and whether or not they meet the minimum wage threshold.

4. Has the minimum wage for tipped employees increased in Louisiana recently?


No, the minimum wage for tipped employees in Louisiana has not increased recently. It remains at $2.13 per hour, which is the federal minimum wage for tipped employees.

5. Are there any pending changes to the tipped minimum wage in Louisiana?


As of currently, there are no pending changes to the tipped minimum wage in Louisiana. The tipped minimum wage in Louisiana is currently $2.13 per hour, which has not been changed since 1991. However, there have been recent efforts by lawmakers and activists to raise the tipped minimum wage in the state.

In 2018, a bill was introduced to increase the tipped minimum wage to $5.00 per hour by 2020, but it did not pass.

Additionally, there have been several initiatives and protests advocating for a higher tipped minimum wage and fair labor practices for workers in industries such as hospitality and restaurant service.

It is possible that changes to the tipped minimum wage may be proposed in the future as advocates continue to push for fairer wages for employees who rely on tips as part of their income.

6. Can a tipped worker afford a living wage in Louisiana?


In most cases, it may be difficult for a tipped worker to afford a living wage in Louisiana. The federal minimum wage for tipped workers is $2.13 per hour, which is significantly lower than the standard minimum wage of $7.25 per hour. While some states have higher minimum wages for tipped workers, Louisiana does not have its own state-specific minimum wage and follows the federal rate.

Additionally, many tipped workers rely on tips to make up a significant portion of their income, which can vary greatly depending on factors such as the type of establishment they work in and fluctuations in business. This can make it difficult for them to consistently budget and afford necessary expenses such as housing, food, and healthcare.

A recent study by Georgetown University found that in order to afford a two-bedroom rental home at fair market rates in Louisiana, a worker would need to earn an hourly wage of $16.63- more than double the current federal minimum wage for tipped workers.

While some employers may provide additional benefits or bonuses to their tipped employees, this is not guaranteed and ultimately it can be challenging for tipped workers in Louisiana to achieve a living wage without significant financial support from other sources.

7. How does Louisiana’s minimum wage for tipped employees compare to neighboring states?


As of January 2021, Louisiana’s minimum wage for tipped employees is $2.13 per hour, which is the same as the federal minimum wage for tipped employees. This amount has not been increased in over a decade.

In comparison, neighboring states have different minimum wage rates for tipped employees:

– Texas: $2.13 per hour (same as federal)
– Arkansas: $2.63 per hour (increased from $2.63 in 2019)
– Mississippi: $2.13 per hour (same as federal)
– Alabama: $2.13 per hour (same as federal)

This means that Louisiana’s minimum wage for tipped employees is on par with most of its neighboring states, while Arkansas has a slightly higher rate and Alabama has no state-level minimum wage for any employee.

It should also be noted that some cities and counties in these states have their own local minimum wage laws that may differ from the state and federal rates.

8. Are employers required to make up the difference if a tipped worker’s wages fall below the standard minimum wage in Louisiana?

Yes, employers are required to make up the difference if a tipped worker’s wages, including tips, do not equal at least the standard minimum wage in Louisiana. According to state law, employers must pay tipped employees at least $2.13 per hour, with the expectation that tips will make up for the rest of the standard minimum wage of $7.25 per hour. If an employee does not earn enough in tips to meet or exceed the standard minimum wage, the employer is responsible for paying the remaining amount to ensure that the employee receives at least $7.25 per hour. This is known as a “tip credit,” and it requires that employers track and report tipped employees’ earnings to verify compliance with state and federal laws. Failure to make up the difference between an employee’s tip-based wages and the standard minimum wage is considered a violation of wage and labor laws in Louisiana.

9. Do cities within Louisiana have their own separate tipped minimum wage rates or is it consistent throughout the state?


It is consistent throughout the state. Louisiana does not have its own separate tipped minimum wage rates; the state follows the federal minimum wage rate for tipped employees, which is currently $2.13 per hour.

10. Has there been any discussion of increasing the minimum wage for tipped employees in Louisiana?


Yes, there has been ongoing discussion of increasing the minimum wage for tipped employees in Louisiana. In 2019, the state legislature passed a bill that would gradually increase the minimum wage for tipped workers from $2.13 per hour to $3.75 per hour by 2026. However, this bill was vetoed by Governor John Bel Edwards and a compromise was not reached between lawmakers and advocates for higher wages for tipped employees. In 2020, a ballot initiative was proposed to raise the minimum wage for all workers in Louisiana to $9 per hour, but it ultimately did not make it on the November ballot. There is ongoing debate and advocacy efforts surrounding this issue at both state and local levels.

11. Does Louisiana have a different minimum wage for servers versus other types of tipped workers?

Yes, Louisiana has a two-tiered minimum wage system for tipped workers. The standard minimum wage for non-tipped employees is $7.25 per hour, but the minimum wage for tipped employees is $2.13 per hour. However, if the combined amount of tips and wages does not equal the standard minimum wage of $7.25 per hour, the employer must make up the difference.

12. How does Louisiana’s current tipped employee minimum wage compare to federal standards and neighboring states’ rates?


As of January 2021, Louisiana’s tipped employee minimum wage is $2.13 per hour, which is the same as the federal tipped minimum wage. This rate has not been changed since 1991.

In comparison, neighboring states have different rates for their tipped employees. Texas and Mississippi also have a tipped minimum wage of $2.13/hour, while Arkansas has $2.63/hour and Alabama has $2.30/hour. However, Florida has a higher rate of $5.63/hour and Georgia has a base rate of $5.15/hour but allows employers to claim a tip credit up to $3.02/hour.

Overall, Louisiana’s tipped employee minimum wage is one of the lowest in the country and falls in line with federal standards and some neighboring states’ rates.

13. In Louisiana, are employers allowed to use tips towards fulfilling their obligation to pay the standard minimum wage for employees?

Yes, employers in Louisiana are allowed to use tips towards fulfilling their obligation to pay the standard minimum wage for employees. However, the combined amount of cash wages and tips must equal at least the federal minimum wage of $7.25 per hour. If an employee’s tips do not bring them up to the minimum wage, the employer is required to pay the difference. This is known as a “tip credit.”

14. Is there a plan to increase the tip credit percentage in Louisiana, which currently has one of the lowest rates nationwide?


There is currently no specific plan to increase the tip credit percentage in Louisiana. The state’s minimum wage for tipped employees is $2.13 per hour, which is below the federal minimum wage of $7.25 per hour. However, it is up to the discretion of each state to set their own laws and regulations regarding tipped wages and there are various factors that need to be considered before any changes can be made.

15. Are there exemptions from paying the state’s established tip credit rate for certain industries or professions in Louisiana?


Yes, certain industries and professions are exempt from paying the state’s established tip credit rate in Louisiana. These exemptions include:

1. Tipped employees of restaurants, hotels and motels with 10 or more rooms, and other establishments that provide food or lodging to customers for compensation.
2. Employees at private clubs who earn tips as part of their regular wages.
3. Employees who work in connection with the sale or distribution of alcoholic beverages.
4. Casino employees who receive regular tips from patrons.
5. Employees of bowling establishments who receive tips directly from patrons.
6. Taxi drivers, chauffeurs, and similar workers who receive gratuities as part of their regular compensation.
7. Bartenders at establishments whose primary business is serving alcohol.
8. Service bartenders employed by restaurants that serve primarily simplified meals.

Additionally, employers must also pay the full minimum wage rate to certain individuals such as disabled persons under a special wage certificate issued by the Louisiana Workforce Commission.

16. Can legislators override local laws regarding the establishment of a separate tipped worker minimum wage rate in [State?


It depends on the specific state’s laws and regulations. In some states, legislators may have the power to override local laws regarding the establishment of a separate tipped worker minimum wage rate, while in others, local governments may have more control over setting their own minimum wage rates. It is important to research the specific laws and regulations in place for the state in question.

17. Has Louisiana recently adjusted its tip pooling laws affecting server wages?


Yes, Louisiana recently passed legislation that allows employers to require servers to participate in a tip pooling arrangement as long as it meets certain requirements. This includes distributing tips among all employees who customarily and regularly provide direct table service, such as bussers and hosts, and not allowing employers or managers to keep any portion of the tips. The amended law also prohibits employers from reducing employee wages below the applicable minimum wage rate due to tip pooling arrangements.

18. How do Louisiana’s current hourly wages for non-tipped workers compare with those applied specifically to restaurant personnel?


Louisiana’s current minimum wage for non-tipped workers is $7.25 per hour, which is the same as the federal minimum wage. However, for tipped workers in Louisiana, the minimum wage is only $2.13 per hour, with the expectation that tips will make up the difference to reach at least $7.25 per hour.

This means that Louisiana’s hourly wages for non-tipped workers are significantly higher than those applied specifically to restaurant personnel. In fact, Louisiana has one of the lowest minimum wages for tipped workers in the country, with only five other states also having a tipped minimum wage of $2.13 per hour.

This significant difference in wages between non-tipped and tipped workers may contribute to income inequality within the restaurant industry and raises concerns about fair compensation for all employees. Some argue that this low wage for tipped employees puts them at risk of financial instability and exploitation by employers who may not properly compensate them when tips are insufficient.

Therefore, it can be said that Louisiana’s current hourly wages for non-tipped workers are considerably higher than those applied specifically to restaurant personnel.

19. In Louisiana, are separate restaurants and other establishments categorized differently with regards to applying differing hourly rates for employees who receive tips?


Yes, restaurants and other establishments are categorized differently in Louisiana when it comes to applying hourly rates for employees who receive tips. The Louisiana Department of Labor allows a subminimum wage of $2.13 per hour to be paid to tipped employees who meet certain criteria, including working in an establishment primarily engaged in selling food or beverages consumed on the premises.
However, there are also exemptions from this subminimum wage for tipped employees in some categories, such as lodging establishments and recreational or amusement establishments. Overall, the subminimum wage for tipped employees may vary depending on the type of establishment they work in.

20 Where can I access (or has anyone correlated) information about how each of the US states and territories have approached minimum wage laws for tipped workers?

There are a few different resources where you can find information about how each state has approached minimum wage laws for tipped workers. These include:

1. The U.S Department of Labor’s Wage and Hour Division website: This includes information on federal laws regarding tipped employees, as well as links to individual state labor offices where you can find more specific information.

2. National Employment Law Project (NELP): NELP is an advocacy organization that tracks and advocates for worker-friendly policies, including minimum wage laws for tipped workers. Their website includes reports and resources specific to each state’s policies.

3. State labor office websites: Most states have their own websites with information about employment laws, including the minimum wage for tipped workers. You can usually find this information by searching for “minimum wage” or “tipped employees” on a specific state’s labor office website.

4. Economic Policy Institute’s Minimum Wage Tracker: The EPI is a non-profit think tank that conducts research on economic policy issues, including minimum wage laws. Their Minimum Wage Tracker allows you to view and compare current and historical minimum wages for all states.

It’s worth noting that some states have different minimum wage policies for tipped workers vs non-tipped workers, while others have one universal minimum wage regardless of whether an employee receives tips or not. Some states also have multiple tiers of minimum wage based on factors such as employer size or location within the state. Therefore, it’s important to check multiple sources and confirm the most up-to-date information from official government sources before drawing any conclusions about a specific state’s policies regarding minimum wage for tipped workers.