this post was submitted on 17 Feb 2024
118 points (93.4% liked)

Ask Lemmy

26831 readers
1352 users here now

A Fediverse community for open-ended, thought provoking questions

Please don't post about US Politics. If you need to do this, try [email protected]


Rules: (interactive)


1) Be nice and; have funDoxxing, trolling, sealioning, racism, and toxicity are not welcomed in AskLemmy. Remember what your mother said: if you can't say something nice, don't say anything at all. In addition, the site-wide Lemmy.world terms of service also apply here. Please familiarize yourself with them


2) All posts must end with a '?'This is sort of like Jeopardy. Please phrase all post titles in the form of a proper question ending with ?


3) No spamPlease do not flood the community with nonsense. Actual suspected spammers will be banned on site. No astroturfing.


4) NSFW is okay, within reasonJust remember to tag posts with either a content warning or a [NSFW] tag. Overtly sexual posts are not allowed, please direct them to either [email protected] or [email protected]. NSFW comments should be restricted to posts tagged [NSFW].


5) This is not a support community.
It is not a place for 'how do I?', type questions. If you have any questions regarding the site itself or would like to report a community, please direct them to Lemmy.world Support or email [email protected]. For other questions check our partnered communities list, or use the search function.


Reminder: The terms of service apply here too.

Partnered Communities:

Tech Support

No Stupid Questions

You Should Know

Reddit

Jokes

Ask Ouija


Logo design credit goes to: tubbadu


founded 1 year ago
MODERATORS
 

There are laws in place for service workers related to minimum wage. The employers have to make up the difference if tips don’t meet the rate for hours worked. It seems to me that’s not sufficient for the times.

Hypothetically, if everyone were to stop tipping in the U.S. would things be better or worse for workers? Would employers start paying workers more?

you are viewing a single comment's thread
view the rest of the comments
[–] [email protected] 5 points 9 months ago

(This is simplified and generalized)

In the short term it would be worse for workers. Their employers are only required to make up the difference in pay to the non-tipped minimum wage (the normal minimum wage). With tips most servers are making above minimum wage (depending on the restaurant some servers are making quite a bit more than minimum wage; it can be a viable career for some). If a server had been making more than (non-tipped) minimum wage, and everyone stopped tipping, they would probably lose money since their employers are not required to make up the difference to what they had been earning with tips. Since the federal minimum wage is not a livable wage for most of the population, this would be very bad for the servers.

Longer-term it could make a difference, since those servers would likely start leaving their jobs for better paying jobs elsewhere and the restaurants would have to raise their base pay to compete or risk closing. To some extent we’re already seeing this in some industries. I’ve noticed most of the fast food restaurants (non-tipped) are advertising starting pay close to double the federal minimum wage. If the crisis became large enough Congress might be forced to finally raise the minimum wage.

Making employees rely on tips instead of paying them a fair wage is a bad system. I’m not sure how to end it in a way that doesn’t hurt the employees, though, short of congressional action.