Is it legal for spa/ massage place to charge their employees for credit card fee 5%.?

The Thai Day spa that I work for (as a massage therapist) recently informed staff they will charge 5% if customer pay with credit card (the whole amount). I don't think it's right as I know the cc company charges store only 2% or less to accept cc?We used to pay 4% from (Customers pay /hr, we get half - )& tip(about-15). My income is a lot less than before as now the business is very slow. Some day I have only 2 customers ( 3-4 customers on the weekend, work from 9.30am-8pm., 4 dys/wk, no benefits ). The owner said economy slows down the business and rent went up, she doesn't want to be responsible for the cc fee as most customoers pay with cc. She want us to pay all cc fee. She also will start to take (pay instead of ) next month to cover the sheets laundry,detergent,etc (we do laundry ourselve) .We've signed nothing indicating that we agree with this policy. I will quit the job here as soon as I find a new one. What should I do right now?Please help.Thanks
I live in Los Angeles, CA (Santa Clarita).

Comments

Anne R says:

July 17, 2009 at 8:15 pm

Unfortunately, you work for a small business owner who is taking advantage of her employees. I understand that her cash flow has slowed down but by burdening her employees she will create an unpleasant work place which might effect how the clients preceive the Spa and the employees are going to start looking for work elsewhere.

Small employers (those who employ less than 50 employees) are not subject to many of the labor laws that are in place to protect employees.

Depending on where you live (which State) you have more options. If you are working in a State that doesn’t require massage therapist to be licensed and you aren’t licensed, then you are going to be paid less. For example, Indiana doesn’t require massage therapist to be licensed.

If you aren’t licensed, then get licensed. I don’t know if you can take the exam without the schooling which is normally a 9 month course, so look into that – it will be depended upon the state you live in. $50 for an hour massage in inexpensive. When you are looking for a new job, try to get hired at a larger Spa. They typically charge $75 and up for a massage and offer a variety of different types of massages – deep tissue, swedish, hot stone etc. If it is a large Spa that employs nail technicans, hair styists etc, they may have more than 50 employees then they would have to comply with employment laws. You would receive overtime and benefits or at least a higher percentage of what the Spa is charging for the service.

It probably isn’t a good idea to go to work at a new Spa. The owner will be buried in the cost it took to set up the business and you don’t know if it will succeed. He or she will make you all kinds of promises and probably won’t be able to deliver if the economy takes a downturn.

Many chiropractors offer massages in their offices. In that environment, you work an 8 hour day and have benefits. That might be an option for you.

Where ever you interview ask to talk with one of the existing employees. If they hesitate to let you do that then they probably have something to hide.

Good luck. 2008 will be a great year for you!

Good luck finding a new position.
Rudy J says:

July 17, 2009 at 8:15 pm

you have been notified of upcoming changes.
therefore it is legal.

you can work somewhere else…….
if you do not like the new rules.

BUT…. many places have the same policies……
when you interview, ask them, or ask other therapists.
latisha c says:

July 17, 2009 at 8:15 pm

No, it is against the merchant agreement that the spa would with the credit companies. The merchant charge their customers a fee or put a min charge amount for using a cc. If they are turned into either MC, visa, dc, am ex, diners they may loose their privileges to except cc from these companies. You can contact their issuing bank or any of these who their account is thru.