New York State Contemplates Bill Mandating Minimum Wage for Restaurant Staff

Source: Published Reporter

A proposed state measure that would boost the minimum wage for servers is raising the fears of restaurant owners in New York City. 

They highlight likely outcomes such as elevated costs for customers and the possibility of staff reductions, potentially resulting in layoffs.

Paul D’Amore, a long time bartender at Gallagher’s Steakhouse in Midtown Manhattan, emphasized the significance of tips in his earnings, constituting around 75% to 80% of his income. 

Currently, while the minimum wage in New York City stands at $16 per hour, the sub-minimum wage for tipped workers, including bartenders and waiters, is less than $11 per hour, with the expectation that tips make up the difference.

However, Assembly member Jessica Gonzalez-Rojas argues that this system disproportionately affects women of color, who tend to receive lower tips than white men, leading to inequities in compensation. 

The proposed bill seeks to mandate that restaurants pay their servers minimum wage, aiming to ensure a livable income for workers. Even with plans to keep tipping in place, some stakeholders continue to have reservations.