Minnesota Restaurant Owners Serve up Alternatives to New Wage Hike Law

Updated: 06/27/2014 6:10 AM
Created: 06/26/2014 5:38 PM
By: Ellen Galles

Restaurant owners from around Minnesota gathered in downtown Minneapolis on Thursday to push for something called a "tipped-employee tier" as an adjustment to the new minimum wage laws.

They want to freeze the wage hike increase for tipped employees, like waiters and waitresses, at $8 an hour plus tips, as long as they are already averaging at least $12 an hour.

Otherwise these restaurant owners say the minimum wage increase will cost them too much, and they may be forced to eliminate jobs or raise prices.

"We may have to increase our menu prices, we have to find cuts to go somewhere. We're already maxed out," said Erik Fosberg owner of Devil's Advocate in downtown Minneapolis.

According to the President of Hospitality Minnesota, the average tipped worker in the Twin Cities makes $22 an hour.  He says you have to consider that when you discuss wage increases.

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