AB 488

This bill eliminates the separate, tipped minimum wage for all employees.

Generally, under current law, every wage paid by any employer to any employee

must be at least the applicable minimum wage established under the statutes.

However, if an employer of a tipped employee establishes that, when adding the tips

received by the tipped employee in a week to the wages paid to the tipped employee

in that week, the tipped employee receives not less than the applicable minimum

wage (generally $7.25 per hour), the minimum wage that the employer must pay the

tipped employee is $2.33 per hour or, with respect to an employee under 20 years of

age in the first 90 consecutive days of employment with his or her employer

(opportunity employee), $2.13 per hour.