In Washington D.C., the minimum wage is creeping up to $15 an hour and servers and other tipped employees are going to suffer terribly because of it. That is because Initiative 77 puts the lowest payable wage at $15 per hour (it is now $12.50) but is “phasing out the $3.33 an hour minimum wage for tipped workers,” according to the Washington Examiner.
This 55-44 vote total in the district (so far) is likely to end up costing tipped employees’ money since there is essentially a cap now on their earnings.
This economy killing measure is full of idiotic hidden costs which liberals who supported the idea purposefully ignored. To be fair, even a peppering of Democrats like “Mayor Muriel Bowser and most members of the D.C. City Council” who are comprised of different parties did stand against the idea. Basically, the service industry just got a decrease. In fact, in every liberal city where these measures have been adopted have seen increased joblessness, higher homeless numbers, and businesses leave. The hidden cost of liberality.
Federal law says that $2.13 is the minimum that can be paid and tips are supposed to cover gaps for workers in fields like bartending and waiting tables. There is even a safety net for those who are often called “slow shift workers” that makes the employer “pay up to at least the federal minimum wage of $7.25 an hour if the wages and tips don’t equal that.”
Since it costs a fortune to live, eat, or even to breathe in D.C., the district “allowed tipped workers to be paid $3.33 an hour but required employers to make up the difference if that plus tips did not equal the city’s minimum wage of $12.50 an hour.”
So, here is how this all plays out: If the waiter, Dj, bartender, etc, is lucky, they will get tips even though they are making $15 an hour. For them, great.
For everyone else, this is a pay cut that is about as welcomed as a street mugging. This could really cost workers hundreds (or more) dollars a month.
Those who like to stand up for the very bottom rung just did them a great injustice by supporting this as it was worded. There are likely a lot of pizza delivery drivers and others who will pay.
In fact, a number of people could lose their job because this is basically a tax on employers.
Could it have been worded to prevent this from happening? Certainly, because tipped workers begged for it not to happen on these very grounds.
So, why did “loving, caring, empathetic” liberals do such a thing? Taxes. Too many of the tipped workers were not claiming all of their tips and the taxman wants to plunder every last penny. Taxes are, after all, a Democrat’s calling card.
The next time that someone stands up for the lowest paid workers in the future, if there is a “D” by their name, it may be time to find a new profession.
It will happen, too, because liberals never miss a tax grab.