No On #5 In November

No On Question #5 In November

There is an effort underway to increase the minimum wage for tipped employees in Massachusetts. These employees are already guaranteed the state minimum wage. If they don’t make it in payroll and tips, then we, the employers, make it up. And that just doesn’t happen. Tipped employees make much more! Increasing their minimum wage will set off a chain reaction, which will end up increasing menu pricing, decreasing tipping and decreasing wages for the very people this question is disingenuously meant to protect.

Restaurants and servers and bartenders in MA are not in favor of this effort, which will be on the November ballot. The Massachusetts Restaurant Association and the Massachusetts Brewers Guild are not in favor of this question. If you don’t want to read further and you love Moon Hill Brewing and Gardner Ale House’s tipped employees,
please just vote NO on this question #5 in November!

The question, if approved, will require MA restaurants to automatically pay tipped employees the standard minimum wage. It would also allow employers to spread tips around, a practice known as tip pooling. If this were to happen, here’s how I think it would play out in the average restaurant.

1. Payroll would increase, which is the employer’s responsibility. The employer (me) would raise menu pricing to be able to pay the increased payroll.
2. With increased menu pricing and the knowledge that tipped employees are now being paid a minimum or ‘one fair wage’ as the proponents of this question like to refer to it, customers will not tip or will tip significantly less.
3. Excellent employees, no longer being rewarded for fast service, great hospitality and ready smiles, will enjoy their jobs less and definitely make less money.
4. Some restaurants will not survive this. Servers/bartenders will go elsewhere looking for better paying jobs. High priced menus will be unattractive. Dining out will suffer.

It’s that simple. Tipped employees are already guaranteed the minimum wage in Massachusetts. If tips don’t get them there, then the employer makes up the difference. This is all reflected in menu pricing. And what is also simple and obvious is that tipped employees generally make more than the minimum wage and so love the compensation scheme that is in place. There is no reason to change this system. The deceptive argument that this is ‘one fair wage’ for tipped workers is dishonest.

So, if this question passes with a yes vote, then menu pricing will rise, tipping will slowly dwindle, service and ambience will suffer. We will lose employees who will go elsewhere for better paying jobs.

There is no upside to this question. America has a wonderful tradition of rewarding tipped service employees. It can add a bang to your day. It allows the tipper to feel generous and valuable and makes the tipped employee feel appreciated, resulting in an enjoyable experience for all. Service is great in America, better than any of the places I have ever been.

And you know what to do when you receive bad service! This all works!

Have you ever travelled abroad? I have had the worst service in foreign countries that don’t support a tipping scheme. It’s not like they are angry employees. It’s just that there is not much for them to participate in. Things slow down a bit. I remember one country my buddies and I used to frequent, where we would order two beers at a time because the service was so slow – there was little tipping there.

Tipping is just how we play the game of hospitality here in the U.S.

Now they (a west coast group, outsiders don’t you know!) want to make a law that, in my view, will effectively remove tipping as a source of income. I will pay more to make up the wage, and you will pay more for your food and beverage; some restaurants won’t make it. And I’ll go looking for employees, which will be harder to find.

And the idea of tip pooling, which this question will allow if it passes, is a non-starter, because there will be very few tips to pool. High prices will discourage dining and restaurant revenues will suffer and nobody’s pay will rise anywhere.

‘If it ain’t broke don’t fix it’ doesn’t even begin to address my feelings. Because it not only ain’t broke, it works really well; our system of tipping. Why do outsiders want to come to Massachusetts and change the way we pay our tipped workers? Wanna buy a restaurant? There might be more for sale soon.

You want to know something else that is fun? We created a West Coast IPA  called No On #5 West Coast IPA. LOL. It’s awesome. Bracing, brisk and truthful. On tap now!

Please vote No on Question #5 this November. Your neighborhood restaurant is asking for your support. We think you like it here and we like it here too, just the way it is.

Please visit ProtectTips.org for more information.

Cheers and thank you for being there.

Rick Walton,

Always here
President Moon Hill Brewing Co. Inc.