Tip pooling bill approvedby Nevada’s Assembly

May 1, 2007 5:07 AM

 

Fueled by the uproar over Wynn dealers "giving" a portion of their tips to management, the Nevada Assembly has passed a tip pooling bill that would stop the practice.

The measure still needs to be approved by the Nevada Senate.

State Assemblyman Bob Beers introduced the measure, which would discontinue the practice implemented by Wynn Las Vegas last September.

Last fall, Wynn decided to pool dealers’ tip money and hold a portion, about 20 percent, for middle managers such as pit bosses and floor supervisors.

The reasoning was that the dealers were making far too much money and there was no incentive to move on to a management position.

Wynn’s answer was to shift some of the tip money to supervisors, although many dealers protested at the time.

For dealers, it meant 20 percent of their tips would be given to someone else.

Currently, Wynn dealers don’t get to keep all their tip earnings. Instead, the money goes into a pool with a certain amount going to salaried employees, like managers and pit bosses. The dealers still receive a portion of their tips, but it’s about 20 percent less than what it used to be.

"In essence, the dealers are taking a pay cut of a substantial amount of money so that the floor supervisors can make money that’s closer to what the dealers make," said local columnist John L. Smith.

While most dealers object to the practice, some have yet to see a dramatic decrease in their income. Other proponents say the tip-sharing system creates financial equal footing and is actually more fair.

The issue is important enough to reach the legislative process. There are other tip-dependent employees in the state who are probably carefully watching the progress of this bill.