Originally Posted by Donnie D
Florida lawmakers are considering a bill that would knock back the current wage for waiters from $4.65 an hour to $2.13. The Florida Restaurant and Lodging Association is the main force behind the bill. They say high labor costs are driving restaurants out of business. The bill was approved by a senate committee yesterday.
Yep that $4.65 an hour that those waiters receive is the problem.
The kicker here is if they approve it, it will be optional for the employer. And at $2.13, the employee is guaranteed a minimum of $9.89 including tips opposed to the current total of $7.65. What no one in the press has pointed out, and it is a somewhat subtle point, is the general business credit for ss/medicare paid on tips will increase substantially for those employers. This will benefit high end restaurants, not the mid priced ones.