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Realizing The Dream: How the Minimum Wage Impacts Racial Equity in the Restaurant Industry and In America

Business  (tags: abuse, americans, business, corporate, corruption, dishonesty, economy, ethics, finance, government, law, investments, money, marketing, lies, politics, society, SustainableDevelopment, usa, humans )

- 1760 days ago -
released a report studying the impacts of the full and tipped minimum wage on communities of color. This year marks the 50th anniversary of the March on Washington for Jobs and Freedom

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JL A (281)
Thursday June 27, 2013, 6:56 am
Summary and full report accessible from the site. Quote from the article:
"The restaurant industry is one of the largest and fastest growing sectors of the United States economy, employing over 10 million workers. The industry is the largest employer of people of color, and the second largest employer of immigrants. Unfortunately, the restaurant industry is the largest low-wage employer, accounting for 39% of all workers earning at or below the minimum wage. "

Kit B (276)
Thursday June 27, 2013, 8:35 am

We still think in terms of having the customers pay the employees at a restaurant, it is the responsibility of employers in any other business. I don't know how we revamp this system without a higher minimum wage for all employees. If restaurants increased the price of a meal by 25% and told customers no tip is required, customers would feel relieved.

JL A (281)
Thursday June 27, 2013, 8:53 am
That is happening at one restaurant in NY.You cannot currently send a star to Kit because you have done so within the last day.

. (0)
Thursday June 27, 2013, 10:06 am
I like your idea Kit.

JL A (281)
Thursday June 27, 2013, 12:42 pm
You cannot currently send a star to Michael because you have done so within the last day.

Katie K (70)
Thursday June 27, 2013, 1:17 pm
Why does the restaurant business get to use their customers to pay their staffs salaries? I bartended for years and made a decent salary plus great tips, health insurance and other perks but that was a lucky find. At the same time I have waited tables for peanuts from the company and relied on customers to pay my way and if you get stiffed you pay to have waited on that table. It's messed up and should be revised. Believe me, most restaurants are making a killing and using "we the people" to support their employees. Doesn't make sense. Would be an interesting post on how this all came to be.

Angelika R (143)
Thursday June 27, 2013, 1:25 pm
I bet restaurants would be happy to immediately raise their meal prices WITHOUT paying higher wages to employees, that's what more likely will happen-a damn shame.

Sheryl G (363)
Thursday June 27, 2013, 4:04 pm
My daughter worked for tips, and believe me, in this poor economy, unless you are working in a place that caters to a more high end eater you don't get much in tips. People are pinching pennies to go out to eat but they forget that the wait staff is also struggling. If I can't tip I don't go out for a meal, that must be included for me to go outside to eat. However many people don't think that way, so tips are low and at the end of the day many people are not even making minimum wage when they add up the tips.

I have never understood why this one business is allowed to pay people so low while others must pay their people at least minimum wage. In fact I'm tired of all of these businesses paying their staff so low, like the heirs of Wal-Mart, so that their employees are so poor they qualify for Food Stamps. Anyone working should be paid well enough by the employer so they are not qualifying for Food Stamps. The taxpayer should not be subsidizing them to pay their employees crap and these Wal-Mart heirs own around 43% of all wealth in this Country. This is so F'd up.

JL A (281)
Thursday June 27, 2013, 4:10 pm
I suspect some of the history dates to when withholding required an assumption of a certain percent in tip.
Tip (gratuity)
From Wikipedia, the free encyclopedia
United States

Tipping is a widely practiced social custom in the United States. A gratuity of 15 to 20 percent of the amount of a customerís check is customary when good service is provided.[42] Tips are generally given for services provided in table dining, golf course, casino, hotels, food delivery, taxi cab and salons.[43] The US Government recognizes tips as allowable expenses for federal employee travel.[44] For most of the 20th century it was considered inappropriate to offer tips to the owner of an establishment, and while this is still considered the standard etiquette rule, the concerns have mostly vanished as tipping has become ubiquitous for certain types of services.[45] This etiquette applies to bar service at weddings and any other event where one is a guest as well. The host should provide appropriate tips to workers at the end of an event; the amount may be negotiated in the contract.[46]

The Fair Labor Standards Act defines employees as individuals who customarily and regularly receive tips of $30 or more per month. Employers may not allocate tips to themselves. Federal law permits employers to include tip wage towards satisfying the difference between employees' hourly wage and minimum wage. A tip pool cannot be allocated to employees who do not customarily and regularly receive tips. These non-eligible employees include dishwashers, cooks, chefs, and janitors.[47]

Laws in the states of Alaska, California, Minnesota, Montana, Nevada, Oregon and Washington; and Guam do not recognize differences between tipped vs non-tipped employees in minimum wage determination.[48]

JL A (281)
Thursday June 27, 2013, 4:12 pm
You cannot currently send a star to Angelika or Dandelion because you have done so within the last day.

Helen Porter (39)
Thursday June 27, 2013, 4:46 pm
The young people who work at McDonalds for minimum wage, few hours and no breaks certainly raise my compassion. The turnover is rapid. I'm glad of that. Better jobs!!!

JL A (281)
Thursday June 27, 2013, 5:09 pm
You cannot currently send a star to Zee because you have done so within the last day.

Mary Donnelly (47)
Friday June 28, 2013, 1:32 am
Thanks J.L. A;as a former employee of Pizza Hut I understand.

Winn A (179)
Friday June 28, 2013, 6:49 am
I completely agree with Kit. The minimum wage law should definitely apply to restaurant workers.
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