89R4147 KSD-D By: Canales H.B. No. 1665 A BILL TO BE ENTITLED AN ACT relating to the payment of gratuities to certain employees. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter B, Chapter 61, Labor Code, is amended by adding Section 61.021 to read as follows: Sec. 61.021. GRATUITIES PAID TO TIPPED EMPLOYEES. (a) In this section, "tipped employee" has the meaning assigned by Section 62.052. (b) An employer may not collect or receive any portion of a gratuity paid to or left for a tipped employee, including for the purpose of compensating a credit or debit card issuer for any financial services rendered on account of the gratuity. The gratuity is the property of the tipped employee. SECTION 2. Section 61.021, Labor Code, as added by this Act, applies only to a gratuity paid to or left for an employee on or after the effective date of this Act. SECTION 3. This Act takes effect September 1, 2025.