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Saturday, February 15, 2014

Un-Free Markets

During thie discussion about the Minimum Wage, it has come to my attention that the Minimum Wage for Tipping Jobs - those that may depend on customers' tips or gratuities - is $2.13 per hour. The National Restaurant Association has effectively lobbied for this.

In other words, the paying customers are probably paying more than 60% of the wait staff's income.
The tip is not a thank-you-for-good-service, but is the living wage.

If eateries cannot pay a living wage, let them go out of business, as they would in a truly free market.

Will workers be let go? Hardly. Restaurants are service based businesses; if the service is bad, no one will come back to the restaurant.
If the restaurant wishes to stay in business, they will find a way to cut something else.

I do not know how many restaurant pay the tipping minimum wage, but if they do, they should have a sign up saying that they do, and that we had better eat there lest the children of the wait staff starve.


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