Minneapolis Restaurant Servers Want to be Exempted from Minimum Wage Hike

Without a “tip credit,” tipped employees could end up making less money if the current version of wage hike passes.




Tipped servers in Minneapolis earn an average of $28 an hour in wages and tips, but that number could go down with a raise in the minimum wage.

At least some restaurant servers in Minneapolis have taken a stand against raising the minimum wage without an exemption for themselves—because it would cut their income rather than raise it, according to the Star-Tribune.

About 50 restaurant employees rallied Tuesday near Minneapolis City Hall in favor of a “tip credit” as part of a proposed minimum wage hike to $15 an hour. A tip credit is an exemption, meaning the wage hike would not apply to servers who currently work for a lower hourly wage ($9.50 in Minnesota) plus tips. One coalition of Minneapolis restaurants has called for a phase-in of the wage hike with a credit for tipped employees, saying restaurants should make up the difference if employees’ earnings don’t add up to $15 an hour. But the Star-Tribune says “most members” of the City Council support a $15 minimum wage without a tip credit.

The problem is that tipped restaurant employees in Minneapolis make an average of $28 an hour in wages and tips, according to a March survey. “We’re not asking for more,” Smack Shack employee Michaelann Gillis told the Star-Tribune. “We’re asking for what we have.”

The wage hike would hurt restaurant owners, too, according to Heather Bray, who operates The Lowbrow in south Minneapolis. To pay all of her servers $15 an hour, she’d have to raise prices and, she said, “I fear that everything we worked so hard for will crumble.”

 

Edit Module

Tell us what you think at or email.

Edit Module
Edit ModuleShow Tags
Edit ModuleShow Tags

Related Articles

Pentallect Study: Consumers Show Strong Preference for Independent Restaurants Over Chains

As customer perception improves, independents are forecast to grow at almost double the rate of chains in the remainder of the decade.

Pizzeria Locale is Textbook Example of a Successful Pizza-Making Class Promotion

“Dough from Scratch” classes earn TV and online media coverage for chain’s stores in Kansas City area.

Tree Falls on a Woman While She’s Eating Pizza

Micki Scott is in critical condition after a freak accident at Punch Pizza in Wayzata, Minnesota.

A Dream Come True: Real Housewives of New Jersey Star Opens a Pizzeria Next Month

Kathy Wakile and her husband, Richie, will launch Pizza Love in Bergen County, with the help of friends who have restaurant experience.

A Raw Deal: Customers Can Swap Uncooked Veggies for a Vegetarian Pizza at Franco Manca

The promotion is part of the chain’s celebration of National Vegetarian Week in the U.K.

A Surefire Cure for the Folsom Prison Blues: Pizza Delivered to Inmates’ Cells

Tocco’s Chef Bruno Abate teaches pizza-making skills to Cook County Jail detainees.

Restaurant Sales Down Again in April, but One Expert Sees Reason For “Cautious Optimism”

Pizza chains saw an overall drop in same-store sales of nearly 2% in the first quarter, but Domino’s surged, thanks to investments in technology.

Setting the Mood for Food: “Tasty Tunes” Event Features Choreographed Meals

Customers can eat to the beat at Union restaurant in Pasadena, with tunes ranging from Billy Joel to Prince.

Smithfield Foodservice Races in the Fight Against Child Hunger

The largest pork producer in the U.S. joins over 250 award-winning chefs and members of the culinary community set to push their physical limits to fight hunger this May.

Lesaffre Yeast Corporation Breaks Ground on New Baking Ingredients Blending Plant

Saf-Pro Ingredients to bring complete line of baking ingredient blends to North American bakers.
Edit ModuleShow Tags
Edit ModuleShow Tags
Edit Module
Edit Module
Edit ModuleShow Tags
Edit ModuleShow Tags
Edit Module
Edit ModuleShow Tags
Edit ModuleShow Tags