Tip credit

Steve Barnes on the back-and-forth over whether tipped employees, such as restaurant servers, should be paid the full New York minimum wage: "Although [Andrew] Cuomo and labor advocacy groups characterize this as a win for workers' rights and a way to ensure fair pay, I have talked to no one in the restaurant industry, in any position, who believes the proposed change would be anything but hugely damaging." (Tipped employees are currently allowed to be paid less than the regular minimum -- the "tip credit" -- as long as their tips cover the difference.) [TU]

Comments

I still don't understand it. Restraunt owners say they don't have enough profit, and increased prices are bad.
But increasing price with a sign "basic tip included" should mean no change in cost for most people..

Leave it alone. If it's not broke don't try to fix it.

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