The U.S. Department of Labor (DOL) recently revised regulations regarding tipped employees to include a requirement that an employer provide tipped employees with a specific notice as a condition of taking a tip credit under the federal wage law, the Fair Labor Standards Act (FLSA). An employer who fails to provide the notice may lose its right to any tip credit under the FLSA and be required to pay its tipped employees the full minimum wage under the FLSA.  While the regulations do not require the notice to be in writing, employers should preserve proof that they gave and the employee(s) received the notice. 

http://www.massrestaurantassoc.org/MRA/About_Us/WeeklyUpdates/Weekly-Update-5-27-11.aspx

Hearing on Patient Protection and Affordable Care Act

March 26-29, 2012 Separation of individual mandate of coverage and the effect on Restaurant and Club industry.

National Restaurant Association to argue in front of Supreme Court the constitutionality of the PPACA.

http://www.restaurant.org/nra_news_blog/2012/03/healthcare-watch-court-to-decide-future-of-law.cfm

Email NECMA Legislative Affairs Chair

• It sets up a health care exchange, per the federal Affordable Care Act, whereby small businesses and individuals would compare and purchase insurance plans. The bill does not determine whether businesses with fewer than 50 or 100 employees would purchase plans in the exchange. The bill does state the exchange should include plans offered by at least two insurers but it is unclear whether insurance will be available outside of the exchange and whether these small employers will be able to access federal tax credits if they purchase insurance outside the exchange. 
• It continues Vermont’s efforts to reduce health care costs through reform of payment to providers and looks at new opportunities for savings through efforts like administrative reductions.
• It creates a five person board to plan for, and implement, a single payer system of health care for all Vermonters by 2017. As part of that process, the Secretary of Administration would be required to provide the legislature with a plan to pay for the system by January 2013.
• During the Senate’s consideration of the bill, several amendments were offered. Senator Illuzzi (R-Essex/Orleans Co.) offered two amendments to the bill with regard to the health care exchange. One would have limited businesses who would purchase in the exchange to those with 50 or fewer employees and the second would have allowed the purchase of plans both in, and outside, of the exchange. Neither amendment was adopted. Senator Snelling (R-Chittenden Co.) offered an amendment to remove language referencing who should purchase in the exchange in order to allow the issue to be considered more fully. The amendment was adopted, as was one offered by Senator Miller (D-Chittenden Co.)  to study the advantages and disadvantages of allowing the purchase of insurance only within the exchange, or outside of it as well. In explaining her amendment, Senator Miller talked about her support for changes in our health care system but noted “if we don’t listen to the valid concerns of our employers, we are not doing our jobs.”
• The Senate passed H. 202, as amended, on a 21 to 9 vote. Senator Snelling (R-Chittenden Co.) and Senator Mazza (D-Grand Isle/Chittenden Co.) both voted against the bill. In explaining her vote, Senator Snelling mentioned her concern that there are too many unanswered questions and that she remained unconvinced that it was necessary to move so fast on the bill. The bill is now in conference committee but is not expected to be changed significantly.