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Old 07-26-2009, 11:06 AM   #1
Brian Damage
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Thumbs down Waiters & Waitresses left out of latest minimum wage rise

NEW YORK (Reuters) - U.S. service sector employees who receive tips have been excluded from the latest hike in the federal minimum wage that kicked in on Friday, leaving the public to cover the cost of their healthcare, according to economists and advocates.

The federal minimum wage on Friday rose to $7.25 from $6.55. But only seven states guarantee tipped workers the minimum wage, according to a report by the National Employment Law Project, a New York-based advocacy group for low-income workers.

The minimum wage for so-called "tipped" workers has been frozen at $2.13 an hour since 1991, the report found.

Waitresses and waiters, who comprise the majority of tip-receiving workers, have nearly three times the poverty rate of the nation's workforce, it said.

Wait staff are twice as likely to go without health insurance, partly because few employers help them pay for a health plan.

James Parrott, the chief economist of the New York-based Fiscal Policy Institute, said the public often pays for some of these low-income employees' healthcare.

"Low-wage workers without health insurance can cost taxpayers $3,000-$6,000 a year if covered by Medicaid, or, if they receive uncompensated care, they cost employers or individuals who have private health insurance an average of $2,500 per uninsured person receiving compensated care," he said by e-mail.

The Fiscal Policy Institute, a nonpartisan think tank, in a report estimated that at the new federal rate, a full-time worker would earn $15,080 a year.

"Research has shown that workers benefiting from minimum wage increases in New York are disproportionately women, and minimum wage earners on average contribute most of their family's earnings," the institute's Michele Mattingly said in the report.

"Contrary to stereotype, large numbers of affected workers -- often the majority -- are adults aged 20 and older," she said

Covering healthcare could prove difficult for many recession-stricken U.S. states that are slicing spending on Medicaid, the federal-state health plan for the poor, disabled and elderly, which consumes about 22 percent of an average state's budget.

With U.S. Senate leaders delaying action on President Barack Obama's health plan until autumn, 18 states have already cut spending on public health programs.

http://www.reuters.com/article/domes...56N48E20090724
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Old 07-26-2009, 02:01 PM   #2
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I believe I'm left-out too since I work for a non-profit church.
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Old 07-26-2009, 02:06 PM   #3
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Why doesn't this surprise me?? I always try to be an extra good tipper - my sister was a waitress and her struggles make my sympathetic to waiters and waitresses.
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Old 07-26-2009, 02:13 PM   #4
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my cousin is a waitress and apparently tipping is getting really bad because of the economy. she says people are still going out to eat, they just aren't tipping. which is really wrong.
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Old 07-26-2009, 03:53 PM   #5
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This sucks balls. Waitresses and waiters work hard and get peanuts for pay. To say that this is an outrage is an understatement.
When I go out to eat, I always make sure to leave a good tip.
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Old 07-26-2009, 04:10 PM   #6
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When I was working at Applebee's earlier this year I made $2.13 an hour and on a good day I would make about $40 in tips.
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Old 07-26-2009, 05:48 PM   #7
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I firmy believe waiters and waitresses should make minimum wage (at least.) They have a difficult job and far too many people take advantage without tipping or by leaving minimal tips.

I was in a restaurant the other day and this elderly couple was seated at a booth across from my family. The woman actually told the waitress that she wasn't planning to leave a tip because she didn't have the money and she hoped she would understand. Of course the waitress was very kind about it, but the couple complained about everything throughout dinner and called the poor girl to the table about twenty times. Ridiculous...if you can't afford the tip then you can't afford to go out and eat at a sit-down restaurant!

When my sister was a waitress, they would tax her on what her tips should have been, and take it out of her paycheck. There were times when she would cash a weekly 40 hr. paycheck that was less than $50. And her tips were never anywhere near what they projected they should be. I don't see how anyone with a family and bills to pay can live on that kind of pay. This makes me angry!
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Old 07-26-2009, 05:49 PM   #8
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Quote:
Originally Posted by EmoJoe
my cousin is a waitress and apparently tipping is getting really bad because of the economy. she says people are still going out to eat, they just aren't tipping. which is really wrong.
If you can't afford the proper tip, you can't afford to actually eat out. Period.
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Old 07-26-2009, 05:54 PM   #9
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Originally Posted by Seth
If you can't afford the proper tip, you can't afford to actually eat out. Period.

Totally or just stick to the dollar menu at McDonalds.
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Old 07-26-2009, 08:06 PM   #10
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Quote:
Originally Posted by FactsFan
When my sister was a waitress, they would tax her on what her tips should have been, and take it out of her paycheck. There were times when she would cash a weekly 40 hr. paycheck that was less than $50. And her tips were never anywhere near what they projected they should be. I don't see how anyone with a family and bills to pay can live on that kind of pay. This makes me angry!

They did that to us at Applebee's as well. It kills your salary
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Old 07-26-2009, 08:25 PM   #11
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I waited tables for a few months during my freshman year of college and tips do make a big difference in making a living. I only go to sitdown restaurants maybe once a month. I always try to tip a little extra.
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Old 07-26-2009, 11:03 PM   #12
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Why isn't legislation being introduced to change this big time injustice????
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Old 07-27-2009, 08:46 AM   #13
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Why isn't legislation being introduced to change this big time injustice????
Because they are too busy with their private jets and caviar to even think about it!!
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Old 07-27-2009, 02:20 PM   #14
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Because they are too busy with their private jets and caviar to even think about it!!

AMEN!
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Old 07-27-2009, 04:35 PM   #15
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I wish they'd pay waiters and waitresses the standard minimum wage and do away with tipping altogether. How many hurt feelings and arguments arise from how much to tip someone?

And also, it's expensive to eat out. And to add another 15-20 percent on top of of a meal that has a meals tax already put on to it means that many people don't eat out at all or don't eat out as much as they used to.

I realize that waiters and waitresses don't make much and I try to always leave a decent tip, especially if the server does a great job and is attentive.
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