Pitchfork Economics with Nick Hanauer cover image

Ending the tipped minimum wage (with Saru Jayaraman)

Pitchfork Economics with Nick Hanauer

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The Tipped Minimum Wage

In most states, if your tip is not going to the worker, it's actually going to their employer. Tipping originated in feudal europe as an extra orbonus on top of a wage for serfs and vassals. Forty four out of five states in the us have a sub minimum wage for tipped workers that is 5 dollars an hour or less. The restaurant lobby first demanded the right to hire newly freed slaves, not pay them anything at all, and have them live entirely on this new fangled concept called tipping.

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