Removing Tipped Wage Credit Will Hurt Local Restaurants
Restaurants here in the Hudson Valley and all over New York State do not want the removal of the tipped wage credit. Is the state going to get rid of it anyway?
The Tipped Wage Credit lets restaurants pay less than minimum wage because most wait staff will make the rest up in tips. This has been how the industry has always operated. New York State just raised the minimum wage and Governor Cuomo has proposed that we get rid of the tip credit.
Spectrum News reports that the Governor made no mention about removing the credit during his lengthy State of the State address this week. Does this mean that the Gov is rethinking his position? Probably not and most restaurant owners think Cuomo's proposal is a very bad idea.
"One of the things that does is it hurts the industry," said Dominick Purnomo, owner of Yono's Restaurant. "It's going to hurt the quality of service that guests get. The pie is only so big."
The New York State Restaurant Association is pushing hard for the Tipped Wage Credit to remain as is. They say it will hurt the business and lots of places will cut back on workers, services and some small places will probably just close up shop.
Do you work in the restaurant and bar business in the Hudson Valley? What do you think about eliminating the tipped wage credit? Will you make as much money if it is removed? Please leave your comments on our Facebook page.