My wife is a hairstylist in Location: Tennessee
She receives credit card tips and cash tips. Cash tips are not claimed and simply handed to her from clients. She is a commissioned employee, meaning the employer receives a % of her sales revenue. Tips are 100% hers and the employer does not receive anything. They use a sales system to view and track all sales, appointments, tips, etc.
I work in banking and reviewed her YTD paystubs. I noticed that about $2000 was missing from her gross earnings. After going through her sales system and calculating everything out, we found that the employer is taking anywhere from 15 to 60% of her tips. It varies paycheck to paycheck. For my experience that told me that there is no consistency on why it’s being taken out. From speaking with past employees that quit, apparently many other stylist have brought this up.
We are not necessarily worried about $2000. I’m more mad about the principle of stealing from your employees. I am positive that the same thing is happening to other stylist and she’s likely stealing thousands of dollars every paycheck from everyone.
Comments
She needs to say to them that her check is short. Don’t accuse them just say hey my check should have been X but it’s Y. What do I need to do to fix this? They will probably say oh sorry and fix it. When it happens the next week do it again. Do it every week until they realize you have wised up and then super likely they will stop. The other employees need to do this too. They will keep doing it if they aren’t being called out. Don’t accuse just act like it’s a mistake that needs to be corrected.