Chicago votes to end sub-minimum wage for tip workers. They work hard for the money.
Have you worked at a job that depended on tips?
Me too. Several jobs, in fact.
It sucks.
So, semi-kudos to the Chicago City Council for voting 36 to 10 to essentially end the practice in Chicago. Mayor Johnson will sign it.
I say “semi-kudos” because the bill was a compromise with the restaurant industry that means it will take five years to fully implement the law.
What is the deal with Democrats who vote for reforms that take years to fully take effect?
It reminds me of state representative Will Gizzardi’s $15 a hour bill that has taken so long to take effect that we’re still waiting for it.
It’s a tricky business though.
Servers at higher priced restaurants may not like the change.
I personally know of one destination restaurant in the neighborhood that lost employees when they acted on their own to change the tip system to something fairer for all their front and back-of-the-house employees.
But workers at lower-end establishments will see an improvement in their lives.
Alds. Brian Hopkins (2nd Ward), Nicole Lee (11th Ward), Marty Quinn (13th Ward), Matt O’Shea (19th Ward), Scott Waguespack (32nd Ward), Nicholas Sposato (38th Ward), Samantha Nugent (38th Ward), Anthony Napolitano (41st Ward), Brendan Reilly (42nd Ward) and Jim Gardiner (45th Ward) voted no.
A new study co-written by a team of University of Illinois Urbana-Champaign labor researchers assessing the state of food service and bar employment in the city of Chicago found that more than three-quarters of tipped workers surveyed were compensated at an hourly wage rate of less than the standard Chicago minimum wage but higher than the sub-minimum wage allowed for employees who rely on customer gratuity to supplement their paychecks.
And it’s more than just the money. The study found:
Roughly 77% of workers reported earning an hourly wage of between $9.24-$15.40 per hour before tips, the legally permissible rates for employers in Chicago with 21 or more employees. Fewer than 7% of workers earned more than $15.40 per hour before tips. Just over 16% of workers earned less than $9.24 per hour before tips.
Almost 80% of workers reported that they worked without pay at least once a month, and almost 9% reported that they worked without pay three or more times in a month.
Close to half of workers reported that they were paid late at least once and almost a third received late pay two or more times.
Nearly 57% of workers reported that they were required to illegally “tip-out” or share their tips with managers.
More than half of surveyed women and more than one-third of surveyed men and those identifying by other genders experienced sexual harassment in the past year.
Over 8 percent of all surveyed workers reported that they were sexually assaulted at work during the time period, including 11% of surveyed men and almost 30% of surveyed workers identifying with other genders or gender non-conforming.
That’s why I only am giving semi-kudos to the Chicago council and mayor.