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Business Law Today 10th Edition by Roger LeRoy Miller
Edition 10ISBN: 978-1133273561Business Law Today 10th Edition by Roger LeRoy Miller
Edition 10ISBN: 978-1133273561 Exercise 6
Case Problem with Sample Answer-Minimum Wage.
Misty Cumbie worked as a waitress in Vita Café in Portland, Oregon. The café was owned and operated by Woody Woo, Inc. Woody Woo paid its servers an hourly wage that was higher than the state's minimum wage, but the servers were required to contribute their tips to a "tip pool." Approximately one-third of the tip-pool funds went to the servers, and the rest was distributed to kitchen staff members, who otherwise rarely received tips for their services. Did this tip-pooling arrangement violate the minimum wage provisions of the Fair Labor Standards Act? Explain. [Cumbie v. Woody Woo, Inc., 596 F.3d 577 (9th Cir. 2010)]
Misty Cumbie worked as a waitress in Vita Café in Portland, Oregon. The café was owned and operated by Woody Woo, Inc. Woody Woo paid its servers an hourly wage that was higher than the state's minimum wage, but the servers were required to contribute their tips to a "tip pool." Approximately one-third of the tip-pool funds went to the servers, and the rest was distributed to kitchen staff members, who otherwise rarely received tips for their services. Did this tip-pooling arrangement violate the minimum wage provisions of the Fair Labor Standards Act? Explain. [Cumbie v. Woody Woo, Inc., 596 F.3d 577 (9th Cir. 2010)]
Explanation
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The FLSA provides that a minimum wage of...
Business Law Today 10th Edition by Roger LeRoy Miller
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