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Starbucks Tip Jar: High Court in NY Will Tip Towards Baristas? Or Managers? Everyone Has Hands in Tip Jar!

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Are you one of those people who always puts a dollar in the tip jar for the barista making your coffee?

Or do you wait and see if the service really was exceptional before deciding whether to tip or not? 

Either way, you must know that the tips received by the barista at Starbucks are usually shared by the staff and that includes baristas and shift supervisors although it excludes assistant managers.

Baristas and shift supervisors spend most of their time interacting with and helping customers which is why they share the resultant tips.

Assistant managers, on the other hand, don't share the tips because "they are full-time, salaried, and 'rewarded with performance-based bonuses and other benefits not available to their subordinates'" as per Yahoo! Finance.

Recently, however, baristas have filed a suit arguing that their tips should be theirs alone and shouldn't be shared with assistant managers or shift supervisors.

CBS News reports, "At issue is the New York definition of a company 'agent' who by law must keep his or her hands out of the tip jar."

As far as assistant managers go, their attorney, Adam Klein, argued that since they don't have the authority to hire or fire staff, they can't legally be designated "agents." So they should be able to share the tips as well.

New York's high court will now decide which of these claims are justified and which aren't, and its decision is likely to impact more than just Starbucks.

As per CBS news, the decision will affect 42,000 New York businesses and a quarter-million hospitality industry workers in NYC alone. 

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May 28, 2013 02:22 PM EDT

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