Minimum wage

[Jonathan Buhacoff]

Proposal:

Every business must pay a minimum wage to hourly staff. This applies even if the staff earn additional money through tips.

Discussion:

Currently in the United States, employees who earn tips either don’t earn a minimum wage at all or they only receive a much smaller minimum hourly wage than the normal minimum wage. They are hustling to get even the minimum pay for the hours they work. The common wisdom is that someone who gets paid for performance will have incentive to perform better, leading to better customer service and more tips for the worker. However, having such employees hustle just to get paid the minimum wage is not fair. They need to be paid the minimum wage for hours spent on the job like anyone else, and then they can hustle to earn more than minimum wage.

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