Restaurant waiters and waitresses in Michigan are reportedly concerned about a possible cut in tips due to a recent state Supreme Court ruling.
Tami Jo Schultz has worked numerous jobs as a waitress for many years and is now employed at the Hoff Bar and Grill in Free Soil, MLive.com reported Thursday.
“I can’t see me going from $25-plus an hour to – if we’re all getting paid minimum wage, what is the reason for tipping?” Schultz said. “Obviously to show appreciation, but I don’t think it’s going to be as large as a tip.
“My tip averages 25%, sometimes more. But I think once everyone learns that we’re all on minimum wage, I don’t think they’ll tip the 20% anymore. I think it’ll be more like 5%, maybe 10%, if that.”
The increase in the minimum wage will “gradually phase out the tipped minimum wage by 2029,” the MLive.com report noted.
The outlet continued:
Justin Winslow, president and CEO of the Michigan Restaurant and Lodging Association, says the Supreme Court ruling could force more than 1-in-5 full-service restaurants in the state to close permanently, costing up to 60,000 jobs.
“Today’s tone-deaf ruling by the Michigan Supreme Court strikes a likely existential blow to Michigan’s restaurant industry and the nearly 500,000 workers it employs,” Winslow said in a statement.
Former President Donald Trump said in June that if he is elected president in November, his administration will eliminate taxes on tips, Breitbart News reported.
VOTE TRUMP—NO TAX ON TIPS!!! pic.twitter.com/IeddHfp9Vm
— Margo Martin (@margommartin) June 22, 2024
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