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labor department

The Trump administration has proposed a new rule governing the wages of tipped employees, after an earlier effort sparked a backlash from waitstaff, bartenders and other workers.

Updated at 5:05 p.m. ET

Labor Secretary Alexander Acosta is stepping down after criticism over his role in a nonprosecution deal reached years ago with the well-connected businessman accused of sex crimes, Jeffrey Epstein.

Acosta appeared on Friday at the White House with President Trump and announced his resignation.

"I do not think it is fair for this administration's Labor Department to have Epstein as its focus rather than the incredible economy we have today," Acosta said. "The right thing was to step aside."

The U.S. economy added 201,000 jobs in August, the Labor Department said on Friday, continuing its nearly eight-year streak of monthly gains. The unemployment rate remained unchanged at a very low 3.9 percent.