Skip to main content

HB 2472

AN ACT relating to the payment of gratuities to tipped employees; creating

House Bill
Filed

Filed

Bill introduced by legislator

Committee

Hearing

Passed Cmte

Calendar

Passed

Sent

Enrolled

Governor

Signed

89th Regular Session

Jan 14, 2025 - Jun 2, 2025 • Session ended

Awaiting Committee Assignment

Bill filed, pending referral to House committee

← Back to Bills

Committee

Not yet assigned

Fiscal Note

Not available

What This Bill Does

Protects tipped employees by prohibiting employers from collecting or taking any portion of employee gratuities, whether received in cash or through credit/debit card payments. Employers must pay the full gratuity amount to the employee by their next paycheck, and violations are considered a felony offense, which aims to ensure workers receive 100% of tips left by customers. The law applies to all tipped employees across Texas and creates significant legal consequences for employers who attempt to withhold or redistribute tip income.

Subject Areas

Bill Text

relating to the payment of gratuities to tipped employees; creating
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  Subchapter B, Chapter 61, Labor Code, is amended
by adding Section 61.021 to read as follows:
Sec. 61.021.  GRATUITIES PAID TO TIPPED EMPLOYEE; CRIMINAL
PENALTY.  (a)  In this section, "tipped employee" has the meaning
(b)  An employer may not collect or receive any portion of a
gratuity paid to or left for a tipped employee for any purpose,
including for the purpose of compensating a credit or debit card
issuer for any financial services rendered on account of the
gratuity, regardless of whether the employer takes a tip credit
against the payment of the minimum wage to the employee.  The
gratuity is the sole property of the tipped employee.
(c)  An employer must pay to a tipped employee the amount of
any gratuity left for the employee by a customer who pays with a
credit or debit card not later than the employee's first payday
after the date on which the gratuity was authorized.
(d)  An employer commits an offense if the employer violates
this section. An offense under this subsection is a felony of the
(e)  Each violation of this section is a separate offense.
SECTION 2.  Section 61.021, Labor Code, as added by this Act,
applies only to conduct that occurs on or after the effective date
SECTION 3.  This Act takes effect September 1, 2025.

Bill History

filed

Bill filed: AN ACT relating to the payment of gratuities to tipped employees; creating