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  1. United States
  2. N.Y.
  3. Letter

Eliminate federal tipped minimum wage for worker equity

To: Rep. Velázquez, Sen. Schumer, Sen. Gillibrand, Pres. Trump

From: A constituent in Brooklyn, NY

April 6

The problematic nature of the tipped minimum wage system has been well documented. Workers relying solely on tips face high poverty rates and inconsistent earnings, leaving many struggling to make ends meet. A more equitable solution would be to eliminate the subminimum wage for tipped workers altogether. Under the current federal law, employers can pay tipped staff just $2.13 per hour, with the expectation that tips will make up the difference to reach minimum wage levels. This practice is inherently flawed and rife with potential for abuse. Employers may fail to properly track wages and make up shortfalls when tips are insufficient. Tipped workers then essentially subsidize the businesses they work for. Eliminating the subminimum wage would provide tipped staff a reliable base pay at minimum wage levels before tips. This model has proven successful in the seven states that have already abolished the tipped minimum wage, with tipped workers in those states earning 10-20% more on average in combined wages and gratuities compared to their counterparts elsewhere. Restaurants have also continued to thrive in those locales through gradual implementation periods that allowed them to adjust pricing and operational models accordingly. It's time to dismantle this antiquated system rooted in the legacy of slavery and ensure all workers receive a fair, livable base wage. Tipping can remain a supplemental bonus for excellent service, not a vital subsidy for an unlivable subminimum pay rate. I urge you to support the elimination of the federal tipped minimum wage and the establishment of one fair wage for all workers. This is a crucial step towards greater equity and dignity for millions of service employees across our nation.

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