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Why businesses love it when you tip their workers

KERA's Think

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The Tipping Point: Examining Tipped Wages in the U.S.

This chapter unpacks the intricate issues facing tipped workers in the U.S., including the implications of potential tax law reforms on their income. It highlights the challenges posed by the long-standing federal tipped minimum wage and the reliance of many workers on gratuities, raising concerns about fair compensation and economic vulnerability. The discussion also delves into the political dynamics surrounding tipped wages, revealing complexities in legislative measures that claim to protect workers while often favoring industry interests.

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