The 2017 proposal by Trump's Labor Department allowed tipped employees to share their tips, with proponents arguing it could help lower-paid workers not in customer service roles.
Labor advocates labeled the pooling plan as 'tip stealing,' asserting it would enable employers to control tips and diminish earnings for many tipped workers.
Heidi Shierholz of the Economic Policy Institute expressed that under Trump, the restaurant industry found a supportive administration that would enable them to seize tip money.
The no-tax-on-tips policy has become a contentious issue in politics, with both parties attempting to appeal to hospitality workers without clear plans to offset tax revenue losses.
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