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How the Subminimum Wage Affects Disabled and Tipped Workers | Beyond the Scenes

The Daily Show: Ears Edition

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Sub-Minimum Wage

In 43 states, employers are allowed to pay tipped workers less than the federal minimum wage. The rationale is that customers' tips are supposed to make up the difference between $2.13 an hour and the minimum wage. In seven states, including Minnesota, topping up is not an issue because those states require employers to pay tipped employees the full minimum wage.

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