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Proposed Tip-Pooling Law is So Bad for Workers the Government Hid Data on It

posted by Fnord666 on Tuesday February 06 2018, @02:16PM   Printer-friendly
from the no-tipping-allowed dept.

MrPlow writes:

Submitted via IRC for SoyCow9228

Back in December, we reported on the Trump administration's proposed changes to tip-pooling regulations that would allow employers to pocket servers' tips as long as the employees continue to make minimum wage. That's right: Employers could take servers' tips and just dole out the minimum wage. But wait, it gets worse!

Turns out, the Department Of Labor knew how crappy this would make life for restaurant employees. This Bloomberg Law article, citing sources within the agency, reveals that the Department Of Labor knowingly buried its own data that showed restaurant workers would lose billions of dollars in gratuities under the new proposal.

Source: https://thetakeout.com/proposed-tip-pooling-law-is-so-bad-for-workers-the-gove-1822664111

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  • (Score: 4, Informative) by tangomargarine on Tuesday February 06 2018, @04:14PM (3 children)

    by tangomargarine (667) on Tuesday February 06 2018, @04:14PM (#633906)

    Blarg. Disregard previous; sorry.

    The American federal government requires a wage of at least $2.13 per hour be paid to employees that receive at least $30 per month in tips.[4] If wages and tips do not equal the federal minimum wage of $7.25 per hour during any week, the employer is required to increase cash wages to compensate.[5] As of May 2017, the average hourly wage – including tips – for a restaurant employee in the United States that received tip income was $11.82.[6]

    So basically restaurant owners get to save money by relying on the charity of strangers to defray their costs. Nice.

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  • (Score: 4, Insightful) by Taibhsear on Tuesday February 06 2018, @05:14PM

    by Taibhsear (1464) on Tuesday February 06 2018, @05:14PM (#633951)

    Yup. It's the classic privatize profits and socialize losses.

  • (Score: 2) by Marand on Wednesday February 07 2018, @12:05AM

    by Marand (1081) on Wednesday February 07 2018, @12:05AM (#634208) Journal

    So basically restaurant owners get to save money by relying on the charity of strangers to defray their costs. Nice.

    Pretty much, yeah. Which is why I said in my other comment [soylentnews.org] that the proper solution is to tip cash to the waitstaff. Credit tips get claimed and put toward that minimum wage automatically, but cash tips don't necessarily make it there. If everybody started doing that it would force the employer to actually pay its employees, regardless of the broken ass system in place, at least until society finally goes cashless.

  • (Score: 2) by Runaway1956 on Wednesday February 07 2018, @12:23AM

    by Runaway1956 (2926) Subscriber Badge on Wednesday February 07 2018, @12:23AM (#634221) Journal

    Salutes, for having found the truth about wait staff, and other "tipped" workers. Tipping is a sign of sickness in our society. It never should have been allowed to get started.