One Fair Wage
The sub-minimum (or tipped minimum) wage is a powerful legacy of slavery. It keeps an entire industry of employees, mostly women and people of color, working for as little as $2.13 per hour.
A One Fair Wage policy would require all employers to pay the full minimum wage with fair, non-discriminatory tips on top, that would lift millions of tipped and sub-minimum wage workers nationally out of poverty.
GWA businesses believe that employees should not be dependent on the kindness of strangers to be full participants in Austin’s economy.
What’s wrong with tipping?
For one thing, employees who work for tips are subject to more sexual harassment from customers and co-workers. For another, tipped workers are more likely to be receiving government assistance and living in poverty.
While the federal government guarantees that everyone earns at least the $7.25 per hour minimum wage, the burden to report underpayments and to extract any owed balance is on the employee. Many of these wage claims end up in court, which costs hourly workers time and money that they often can’t afford.
Why change?
Ethically, this is an easy decision. It’s also good for business. Done correctly, all those “tips” become revenue and owners can have more control of the pay-scale at their businesses. Their employees will begin working for them and not for the whims of customers.
With one fair wage, formerly underpaid jobs that were filled by more transient employees become professionalized. Businesses will suffer less turnover, more dedication from employees, and the freedom to provide employee benefits as a further incentive to hiring and retaining professional staff.
How can GWA help?
The minimum wage is going to go up and GWA businesses are already set up for the transition.
We can help you analyze your business, learn more about the history of the dysfunctional sub-minimum wage, determine what other business models exist (with and without tipping), and how to message this change to your employees and customers.
Find out more:
One Fair Wage is a national coalition, campaign, and organization seeking to end all sub-minimum wages in the United States and increase the sustainability of wages and working conditions in the service sector.
Have Questions?
Send us an email and a member of our Good Work Austin team will be in touch.
We work directly with businesses to help them transition away from the sub-minimum wage.