Originally Posted by emmye1007

So, I work as a server at a local restaurant here in Nebraska. The owner of this restaurant takes out 10% of my credit card tips. Everywhere I have looked, most restaurants AT MOST take out 3-5% of the credit card tip to pay the merchant fee. The owner of this restaurant has been known to violate worker and labor laws and has been sued various times. However, I don't understand how he can take 10% out of our cc tips if the merchant companies barely charge more than 5%. I am positive he is pocketing the rest of the money out of my tips. Does anyone know if this is illegal what he is doing and if so, how to go about getting my hard earned money back?