The short answer

Who gets the tip at Subway?

As of July 2, 2026, Subway's publicly available materials state: The company's materials state its restaurants are owned and operated by franchisees (sale to Roark Capital completed April 30, 2024). No company-published statement on tip handling was found as of July 6, 2026; tip practices are set per franchisee. Source: https://newsroom.subway.com/2024-04-30-Subway-R-Sale-to-Roark-is-Complete, April 30, 2024. This is a company statement documented by TipRecord, not a finding.

TipRecord has not yet invited Subway to respond.

On the record

0 location claims

No published location claims yet. The first report opens a record.

Documented

Official records

• Legally confirmedSeptember 29, 2023

  Public record documented by TipRecord: On September 29, 2023, the U.S. Department of Labor announced a consent judgment ordering Bay Area operators of 14 Subway locations to pay about $950,000 and to sell or close the stores; the findings included illegally keeping customer tips. Source: https://www.dol.gov/newsroom/releases/whd/whd20230929, September 29, 2023. This documents an official public record; it is not a finding by TipRecord.

  • US Department of Labor · September 29, 2023
• Legally confirmedMarch 5, 2024

  Public record documented by TipRecord: On March 5, 2024, the U.S. Department of Labor stated its investigation found operators of Subway franchise locations in Washington state kept credit-card tips from about 100 workers; roughly $80,000 in tips and back wages was recovered. Source: https://www.dol.gov/newsroom/releases/whd/whd20240305-1, March 5, 2024. This documents an official public record; it is not a finding by TipRecord.

  • US Department of Labor · March 5, 2024

Locations

2 on record

• 2116 S Lamar Blvd, Austin, TXUnverified
• 1500 Broadway, New York, NYUnverified

Law

Federal law

1. Under the Fair Labor Standards Act, tips are the property of the employee. An employer, including managers and supervisors, may not keep any portion of employees' tips for any purpose, whether or not it takes a tip credit.

   Source: 29 U.S.C. §203(m)(2)(B); DOL Fact Sheet #15 · verified 2026-09

Locations on this record are in more than one state, or no state is on file. Law by state

TipRecord does not determine whether this business complies with any law. These lines quote what the cited statute or agency says, as of the verified date, and are not legal advice.

What you can do

Where to file

Filing a complaint with an agency is separate from reporting to TipRecord. Agencies investigate; TipRecord documents.