Wynn Weighs Options After Tip Pool Ruling

A controversial tip pooling system remains active at the Wynn Las Vegas and Encore casinos, despite a recent ruling against it by the 9th Circuit Court of Appeals. Wynn Resorts might appeal the ruling to the full appellate court or to the U.S. Supreme Court, and the federal complaint by its card dealers also remains active.

Despite the 9th Circuit Court of Appeals overturning its policy of pooling tips given to card dealers, the Wynn Las Vegas continues using it, while weighing its options.

A divided 9th Circuit panel ruled against the tip pooling plan, which had survived legal challenges in the state and U.S. district courts. Wynn implemented the plan years ago, which pools together tips from table games dealers and spreads them out among other employees.

The majority ruling said the tip pooling policy violates the U.S. Fair Labor Standards Act and said a U.S. district court should address the matter. A dissenting opinion said Wynn pays its employees more than minimum wage, and Wynn did not take tip money.

Wynn could appeal the ruling to the full federal appeals court or seek a U.S. Supreme Court hearing, and has not said which option it might choose, if either.

In the meantime, the tip pooling system remains active, and so does the federal case against it. Wynn dealers want their tip money returned, plus double damages.

When first implemented in 2008, Wynn card dealers generally became angry, and voted to join the Transport Workers Union of America that same year.

The Nevada Labor Commissioner approved the tip pooling program in 2010, and so did the Nevada Supreme Court in 2013.

Wynn expanded the tip pooling program to its Encore casino when it opened in 2009.