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ARTICLE · 03 NOVEMBER 2015

Where's The Tip Line?

Stories of restaurants transitioning to a no-tip policy have been slowly infiltrating the news for the past year.

United StatesEmployment and HR

Stories of restaurants transitioning to a no-tip policy have been slowly infiltrating the news for the past year. This change has been brought on for a variety of reasons:   Minimum wage increases, simplified business reporting and employee satisfaction, to name just a few of the reasons for this transition.

A hot topic across all industries — especially the restaurant industry — is employees earning a livable wage. Several cities and states have taken it upon themselves to raise minimum wages from the federal mandate of $7.25 an hour for non-tipped employees and $2.13 an hour for tipped employees. For example, the City of Chicago recently mandated a minimum wage of $10.00 an hour for non-tipped employees and $5.45 an hour for tipped employees.

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