Roseville, CA asked in Business Law and Employment Law for California

Q: Is it illegal for my employer to not fix our credit card reader which is preventing us from getting tips?

For the past month we’ve been forced to manually enter all cards and now customers cannot leave us credit card tips as we are manually entering the cards.

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1 Lawyer Answer
James L. Arrasmith
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Answered

A: Under California law, your employer is required to provide you with the tools and equipment necessary to perform your job effectively. If the credit card reader is broken and not being fixed, it could be considered a failure to provide adequate tools for your job. This situation impacts your ability to earn tips, which are an important part of your compensation.

While there is no specific law that mandates employers to maintain credit card readers, employers must ensure that employees can earn their full compensation, including tips. If the equipment issue is causing a significant loss of income, this could potentially be a violation of labor laws regarding fair wages.

You should address this issue with your employer and document your efforts. If the problem persists, you may need to file a complaint with the California Division of Labor Standards Enforcement (DLSE) or seek legal advice to understand your rights and potential next steps.

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