The Starbucks tip jar is the subject of a battle in New York's highest court. The Court of Appeals will consider whether supervisors and managers are allowed to take a cut of tips Starbucks baristas receive in the tip jar.

Recently, Starbucks launched a new app for "digital tipping", as tips have gone down since more people use plastic. But the shrunken tip jar was being further cut into, employees say, because assistant managers and shift supervisors were taking a portion.

The Court of Appeals is considering the definition of an employer's "agent", which, under labor laws, is not allowed to share tips. Hospitality industry lobbying groups are worried that the decision will affect a quarter of a million workers in New York City and 42,000 businesses statewide.

Shift supervisors, who also serve customers, have limited management responsibilities and say they should be entitled to a cut-after all, they're still slinging drinks, just like baristas. And managers, who don't currently get a cut-the supervisors do-also want one.

Company spokesman Zack Hutson told press that current Starbucks policy is for baristas and shift leaders, who spend over 90 percent of their work hours serving customers but make higher wages and scheduling decisions, to split tips evenly.

The assistant managers, however, are excluded because they are full time, salaried employees and get bonuses.  Attorney Adam Klein, who represents the assistant managers, disagrees with this policy because they spend much of their time slinging drinks, too, and they lack the power to hire or fire-so they shouldn't be considered "agents" either, he claims.

Judge Laura Taylor Swain wrote that not all eligible employees are required to be included in the tip pool. Still, she says, the law is unclear on whether assistant managers are "agents" or not, and thus whether they're eligible. One federal judge concluded that they don't have enough authority to be classified as company agents, so they should be entitled to a cut of the Starbucks tip jar.