Federally-Mandated Pay Decrease
Minimum wage hikes remain a hot issue in states, but as you probably know, Congress looks likely to approve the first national increase in nine ...
Minimum wage hikes remain a hot issue in states, but as you probably know, Congress looks likely to approve the first national increase in nine years. One provision will bother workers in some states, however.
Federal law sets the minimum wage for tip workers at $2.13 an hour, plus tips. But in seven states, tips don't count toward the total minimum wage. Restaurants and other employers in industries where tips are pro forma still have to pay the regular amount -- $6.75 in California, for instance. The new bill would override those states' policy.
"This bill would slash the salaries of thousands of workers. I strongly oppose it," said California Senator Dianne Feinstein. The Board of Supervisors in San Francisco, where the minimum wage is indexed to inflation, passed a resolution Tuesday bemoaning the effort.
It does look like another example of Washington politics trumping the idea of federalism.
Join the Discussion
After you comment, click Post. You can enter an anonymous Display Name or connect to a social profile.
The Week in Public Finance: Taxes, Drought and a Nod to the Baha Men7 hours ago
How Data Can Improve Transit Efficiency8 hours ago
Fresno Deputy Police Chief Arrested on Drug Charges8 hours ago
States Trying to Figure Out Whether Entertainment Tax Credits Really Work9 hours ago
Chris Christie Rails Against Estate Taxes New Jersey Needs9 hours ago
Public Defender: San Francisco Jail Guards Forced Inmates to Fight Each Other13 hours ago