The July 1 Herald-Leader included on the front page that the first step of the local minimum wage increase had been made effective. It stated that the increase was $1.05. For the record, the difference between $7.25 and $8.20 is 95 cents.
More significantly, the article stated that “some workers — including an estimated 5,800 in the restaurant business — were exempt.” This is not the case. All restaurant employees are affected.
The confusion may be that the amount required to be paid servers before tip credit is taken did not increase. However, between the amount that the employer pays and tips declared by a server, employees must make the new minimum wage or the employer must make up the difference.
At my restaurants, only newly hired training servers make minimum wage or close to it. However, we systematically increased all hourly wages to reflect the decrease in our employees’ buying power due to what will ultimately be an increase in the pricing of most goods.
Digital Access For Only $0.99
For the most comprehensive local coverage, subscribe today.
Ramsey’s Diners owner