Ocean Casino Resort Sued for Millions Over Dealer Tip Pooling Practices
Posted on: April 30, 2026, 08:33h.
Last updated on: May 1, 2026, 09:48h.
- Dealers claim tip pooling cuts earnings during required non-tipped work time
- Lawsuit argues casino improperly uses employee tips to cover internal costs
- Case could impact how casinos apply tip credits under wage laws
Atlantic City’s Ocean Casino Resort is accused in a new lawsuit of structuring its tip-pooling system to “shift labor costs onto dealers” in violation of federal and New Jersey laws.
Lydia M. Colon, a table games dealer, claims in the proposed class-action suit that the casino requires dealers to participate in a mandatory tip pool while paying at least some of them below the state’s full minimum wage through a tip credit.
Bad Deal
Dealers commonly work a “string” of 60 minutes at a table followed by a 20-minute paid rest period away from the table, according to the lawsuit. During that time, dealers are on the clock but can’t earn tips because they’re not dealing games.
Colon argues that this setup effectively blocks them from tip-generating work for a quarter of their paid time, even before factoring in other non-tipped duties like meetings or idle periods.
In New Jersey, companies can only use tips to help pay workers if most of their job actually generates tips. If more than 20% of their time is spent on other tasks, the company may have to pay full wages instead. And importantly, tips are supposed to belong to the workers, not the business.
The complaint also takes aim at how the tip pool itself is handled. It says dealers are required to count pooled tips and are paid for that work using money from the pool. Colon claims this amounts to the casino using employee tips to cover its own administrative costs.
Federal law also imposes limits on tip-pooling systems. The U.S. Department of Labor says employers can only take a tip credit if workers receive enough in wages and tips to meet minimum pay requirements. Employers may also require tip pooling only among workers who regularly receive tips and may not retain tips for other purposes.
Claim for Millions
New Jersey’s minimum wage rose to $15.92 per hour for most employees on January 1, 2026. For tipped workers, employers applying a tip credit must pay at least $6.05 per hour in direct wages, with tips making up the difference.
Colon is seeking to recover unpaid minimum wages and overtime, as well as tips she claims were misused under the casino’s pooling system. The lawsuit also requests liquidated damages, interest, and legal fees on behalf of a broader group of dealers included in the proposed class.
According to the complaint, the amount in dispute exceeds $5 million, the threshold for bringing the case to the federal court, though total damages are not specified.
Casino.org has contacted Ocean Resort for comment.
Last Comments ( 11 )
As a lifelong Atlantic City involved gaming employee, those rules for dealers have been set since 1978. The reasoning was dealing with money, counting, adding 4 hours straight fries the brain. The 20 off gives the brain a rest, cools it down to begin the next hour. The breaks are all equal; no games are shut down while the break happens, its continual play on the tables. This lawsuit is frivolous on its face, and pooling tips keeps people from using nepotism or other means to continously be in the better gaming areas. If this person was newer, and was constantly on games that don t get a lot of play, or on lowest limit games, she d recieve no tips at all, and high game dealers would make large bankroll. Ridiculous! I guess you can lawsuit anyone, if a law firm wants to class action. But you will not like the results if the tip pool changes are made.
I always top the dealers!
Go work for another casino. Simple as that. Why work for a company known to steal from employees. Hard Rock Tampa the dealers are pocketing over $100,000 annually. Always looking for dealers and supervisors. Grant you they too are JOs but you get your money.
Hey Greg what do you do for a living?
So here’s what you do. Make them work 4 hours straight, half hour for lunch/break and work your next 4 hours. Give them what they want.
they need to honestly evaluate every casinos toke procedure in the whole city. But guess I dodged that bullet and i kno no one wants to talk about that ♀️
Does the company take the tips given the employee at the cage? Owners should be ashamed. Greedy selfish Owners taking these workers tips! standing up even if no one is playing at their tables.
This is a huge point about casino employees and what they earn, I totally agree it's not fair enough. I used to work at ocean casino and hard Rock casino as an online dealer for evolution America and as a game presenter we had to "share" a portion of the tips we made with all the other game presenters or dealers. I say a portion because I know for a fact w didn't get paid all of our tips, their were several times a high roller would win a life changing amount of money from a casino jackpot etc and supposedly they tipped 1 million dollars more or less at times and out tote rate or hourly rate for pay stayed practically the same lol the most important thing about all of this to me was that I was a Hustler and go getter and I would be a top performer every single month always pushing myself to achieve the bonuses and try and earn as much as possible and their were a lot of game presenters who weren't as personable and wouldn't generate nearly as much in tips nor would they care enough to try and earn as much or hit their bonuses etc so why did I have to split my tips with them. Crazy I know, alot of things have to change when it comes to casino employees and fair pay etc
Pay your employees please. Please be more sustainable. And fair and create an environment where dealers are paid fairly to deal with these degenerate assholes. I mean management. And God bless and love us aĺl.
They are the cheapest and most rigged casino..ontop of cheating their employees they cheat their players..worst casino. The state needs to totally shut this casino down
I have an ex employer in a restaurant who took a tip pool from us. He got me for$5,000 a year for 4 years. We all thought he was doing something fishy but nobody wanted to lose there job over it. He owns 3 restaurants and doors it in all of them. Any lawyers out there want to look into this for me. The restaurants are all in AZ.