AP: Workers' tips at issue in congressional minimum-wage bill

[Eugene]

Posted on Tue, Aug. 01, 2006

Workers' tips at issue in congressional minimum-wage bill
ERICA WERNER
Associated Press

WASHINGTON - Tip money earned by waitresses in Las Vegas, manicurists in Hollywood
and bartenders in Seattle is on the table in the nation's capitol, as lawmakers scrap
over an election-year minimum wage bill.

Nevada, California and Washington are among seven states where workers get to keep
their tips on top of getting paid their state's full minimum wage. In other states,
tip-earning workers get paid less and make up the difference with tips.

A provision in GOP-written minimum wage legislation passed by the House and under
consideration this week by the Senate could change the law in those seven states -
the others are Montana, Alaska, Minnesota and Oregon. It would deal a pay cut of $3
or more an hour to thousands of waiters, bellhops and hairdressers in those states,
according to Democrats and labor groups.

"Everything that has been achieved in seven states to support low-wage workers
who earn tips is destroyed by this bill," said Sen. Dianne Feinstein, D-Calif.
"This bill would slash the salaries of thousands of workers."

-snip-

Full article: http://www.mercurynews.com/mld/mercurynews/news/local/states/california/northern_california/15174683.htm

[WillParkinson]

1. Big deal...

They vote Democratic normally so who cares if we cut their pay? Hell, it's not like they'll vote for us anyway. <SIIIIIIIGH>

[w4rma]

5. sarcasm, right? (nt)

[mrreowwr_kittty]

2. I say we pass photos of the Senators who voted for that provision

Around to the waitstaff of every restaurant in the DC area and in their home states. You know what they say about messing with people who handle your food :evilgrin:

[Broken_Hero]

3. so true...nt

[Cobalt-60]

4. Just keep it up, Republicans

This should keep you out of power for generations.

[Cobalt Violet]

6. Cheap stingy idiots. How many of them ever worked for tips?

And they're probably the cheapest tippers too.


I thought repukes were for states' rights. I guess only when it's convenient for them.

They can't help but screw working people.

[Rose Siding]

7. Look at cons argue over pocket change, as long as it's in poor pockets

-while billions in taxes owed by cronies go uncollected. In fact, hey, can HALF of the IRS auditors, and cut the budget of Justice lawyers who might have collected it! It's not like anyone can stop them.

[MrPrax]

8. The House didn't see it...

until now...

Under the GOP-written legislation, according to Democrats, that same system would go into effect in the seven states where employers now pay the full wage. So instead of getting to keep tips on top of their minimum wage in California, Nevada and the other states, tipped workers would be paid a base wage of $2.13 an hour and employers could use their tips to make up the rest.
--from the posted article

_____________

House's Minimum Wage Bill Cuts Wages for Tipped Employees in Seven States by as Much as $5.50 an Hour

The Estate Tax and Extension of Tax Relief Act of 2006, H.R. 5970, which passed the House on July 29, raises the minimum wage for most employees. But for many employees in seven states, H.R. 5970 means a wage cut. Section 402 of the bill strikes down state laws that require employers to pay a full minimum wage without relying on tips from customers to reach the minimum level.1 States that have those laws will see the minimum wage for tipped employees fall as much as $5.50 per hour.

Seven states - Alaska, California, Minnesota, Montana, Nevada, Oregon, and Washington - exclude, in the words of H.R. 5970, " all of a tipped employee's tips from being considered as wages in determining if such tipped employee has been paid the applicable minimum wage rate." According to Section 402, therefore, the "minimum wage rate provisions" of those state laws may not be enforced "with respect to tipped employees." Tipped employees (defined as any employee who earns more than $30 per month in tips) would be left without any minimum wage protection under state law in those seven states.

....

Nationwide, more than 5 million employees work in occupations where tips are common, including taxi drivers, food and beverage servers, hotel porters and housekeepers, manicurists, and hair stylists, to name a few.

H.R. 5970 is the first time in history that the federal government has acted to put a ceiling on minimum wage levels, rather than establishing a national floor from which the states can make improvements.
CP

The House Democrats missed this part?