Michigan restaurant owners are warning that both customers and workers will suffer if tipped wages are cut. According to a report by MLive.com, restaurant owners are worried that eliminating tipped wages could result in higher menu prices and lower wages for employees.
Many restaurant owners in the state rely on tipped wages to keep labor costs low and prices competitive. Cutting tipped wages would force them to increase menu prices in order to cover the additional costs of paying employees a higher hourly wage. This could ultimately drive customers away and hurt their bottom line.
In addition, workers may also be negatively impacted by the elimination of tipped wages. While the idea behind cutting tipped wages is to ensure that all employees are paid a fair wage, some restaurant workers argue that they actually make more money through tips than they would with a higher hourly wage. Implementing a flat hourly wage could result in a loss of income for these workers.
The debate over tipped wages has been ongoing in Michigan and across the country. Proponents of eliminating tipped wages argue that it would help address wage disparities between tipped and non-tipped workers, while opponents believe that it could have unintended consequences for both employees and customers.
Overall, Michigan restaurant owners are urging policymakers to carefully consider the potential impacts of cutting tipped wages before making any drastic changes. They argue that both customers and workers could end up paying the price if tipped wages are eliminated.
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