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Bill
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Small Business Flexibility Act

H.R. 7261 · 117th Congress · Mar 29, 2022 · Lineage

A BILL

To amend the Fair Labor Standards Act of 1938 to allow the pooling of tips among all employees, and for other purposes.

Section 1 Short title

This Act may be cited as the “Small Business Flexibility Act”.

Sec. 2 Tip pooling

Section 3(m)(2) of the Fair Labor Standards Act (29 U.S.C. 203(m)(2)) is amended—
(1)
in subparagraph (A)(ii), by striking “employees who customarily and regularly receive tips” and inserting “pools of employees described in subparagraph (C)”; and
(2)
by adding at the end the following:

“(C) The pools of employees described in this subparagraph are as follows:

“(i) Employees who customarily and regularly receive tips.

“(ii) Employees who—

“(I) customarily and regularly receive tips and receive a cash wage paid by the employer that is not less than the wage in effect under section 6(a)(1); and

“(II) do not customarily and regularly receive tips.”