Instead of quietly raising prices, local MN restaurant creates a 'minimum wage fee' to make a stupid - Polidicks

Minnesota recently passed a measure to increase the minimum wage to $9 by August 2016. It was raised to $8, from $7.25, this month, and will be raised another $0.50 next year and the year after. [quote=Slate]A Minnesota restaurant isn’t happy about a recent minimum wage hike in the state. The Oasis Cafe in Stillwater, Minn. decided to do something about it—it’s charging customers a minimum wage fee of 35-cents to offset the costs. While the cost of the fee isn’t likely to deter customers, the tacky political grandstanding has rubbed some customers the wrong way. After all, the restaurant’s owners could, say, just hike the price of waffle fries from $1 to $1.35 without customers decamping for Burger King. As an employee there’s nothing quite like your boss quibbling over a 35-cent pay raise to make you feel valued.[/quote] [URL="http://www.slate.com/blogs/the_slatest/2014/08/06/minnesota_restaurant_charges_minimum_wage_fee_on_bill.html"]sauce[/URL] [quote=Fox 9]STILLWATER, Minn. (KMSP) - An incremental minimum wage increase took effect in Minnesota last Friday, and Oasis Café in Stillwater tacked on a separate “min wage fee” on the bill to show guests what they're paying for. The receipt was posted to the Oasis Cafe Facebook page by a friend of a customer who dined there, shaming the 35 cents denoted below the subtotal and tax lines. Amanda Gutierrez argues that by the “min wage fee” being so visible, servers are made out to look like the “bad guys.” She also added she won't ever be dining at the establishment. [I]"Wow! You couldn't just increase your prices by 35 cents for two meals? Don't you wonder how that makes your employees feel, making them look like the bad guys to their customers. Shame on you. (For the record, I took this photo off a friend's FB page. I wasn't a customer there, nor will I ever be now.)"[/I][/quote] [URL="http://www.myfoxtwincities.com/story/26210237/minimum-wage-fee-on-stillwater-minn-cafe-bill-sparks-conflict"]sauce 2: electric boogaloo[/URL] I suspect we're going to see a LOT more of this as the minimum wage goes up.

lmao what scumbaggery god forbid employees get a whole extra dollar per paycheck

[QUOTE]As an employee there’s nothing quite like your boss quibbling over a 35-cent pay raise to make you feel valued[/QUOTE] That's quite a zinger.

As any good conservative knows, the money spent on working-class wages is, in fact, thrown into a liberal black hole rather than spent on stuff to stimulate the economy through consumer spending.

[QUOTE=Sgt Doom;45623452]As any good conservative knows, the money spent on working-class wages is, in fact, thrown into a liberal black hole rather than spent on stuff to stimulate the economy through consumer spending.[/QUOTE] I wish it was a black hole, the money is obviously used to fund communism

[QUOTE=Sgt Doom;45623452]As any good conservative knows, the money spent on working-class wages is, in fact, thrown into a liberal black hole rather than spent on stuff to stimulate the economy through consumer spending.[/QUOTE] You idiot, if they EVER tried in their life, they could be billionaires by now. They don't [I]deserve[/I] money, they clearly haven't tugged on their bootstraps hard enough.

Unexpected outcome of minimum-wage increase: Randian babies identify themselves publicly. [IMG]http://facepunch.com/image.php?u=6641&dateline=1406565549[/IMG] I'm not even going to dignify them with 'manchild' (and womanchild) status. [sp]Apologies to Sgt Doom for tarnishing your avatar like this.[/sp]

[QUOTE=Sgt Doom;45623452]As any good conservative knows, the money spent on working-class wages is, in fact, thrown into a liberal black hole rather than spent on stuff to stimulate the economy through consumer spending.[/QUOTE] too bad the black hole lies within the bank vaults and stock portfolios of the 1%

'We're assholes because we don't pay our employees a fair wage, look how childish we can be too' [editline]8th August 2014[/editline] [QUOTE=Sgt Doom;45623452]As any good conservative knows, the money spent on working-class wages is, in fact, thrown into a liberal black hole rather than spent on stuff to stimulate the economy through consumer spending.[/QUOTE] It's actually kind of funny that mainstream economics today rejects the economic viewpoints of many conservative parties as unsound. If a party claims it wants to balance a government budget because 'responsible home owners must balance their budgets', you can pretty much tell that they don't know what they're talking about.

[QUOTE=hypno-toad;45623465]I wish it was a black hole, the money is obviously used to fund communism[/QUOTE] Wasn't it used to keep Obama's skin intact so he doesn't shows his reptilian heritage?

So just to get this straight, would there be any difference if they had simply raised their prices without saying anything? Whether they had decided to make a political statement or not, it seems obvious that the prices would go up. I can't tell if people are upset by them making a political statement or by them raising their prices.

[QUOTE=tidus1112;45624582]So just to get this straight, would there be any difference if they had simply raised their prices without saying anything? Whether they had decided to make a political statement or not, it seems obvious that the prices would go up. I can't tell if people are upset by them making a political statement or by them raising their prices.[/QUOTE] The problem isn't with the price increase, as you have said that is obviously going to happen. The problem is that they are demonising their own staff in trying to make a stupid political point. They are free to raise their prices, but they don't need to rub it in to their customers.

snip

[QUOTE=Noss;45624683]Companies raising prices to correlate with minimum wage increases is kind of a dick move in itself, it kind of negates the point of raising minimum wage if everyone just charges more.[/QUOTE] The point of increasing the minimum wage isn't to improve real wages, it's to maintain them. Inflation is always there in any sustainable economy, and inflation is a good thing. Wages must keep up with inflation. The alternative, not increasing wages, is for real wages to decline instead. The US has a structural problem because the federal minimum wage has not been indexed to inflation and so real wages are lower than what they were decades ago. Now, the most effective way that people on low income can receive better value from their income, so to say, is to adjust the lower marginal income tax brackets (ie expand tax-free thresholds). In other words, attempting to increase the minimum wage to increase the real value of the wage isn't going to work because inflation will increase in proportion.

[QUOTE=hypno-toad;45623465]I wish it was a black hole, the money is obviously used to fund communism[/QUOTE] The money is obviously used to fund eco-friendly abortions for communist lesbian immigrant black Muslims all over the world

[QUOTE=Antdawg;45624750]The point of increasing the minimum wage isn't to improve real wages, it's to maintain them. Inflation is always there in any sustainable economy, and inflation is a good thing. Wages must keep up with inflation. The alternative, not increasing wages, is for real wages to decline instead. The US has a structural problem because the federal minimum wage has not been indexed to inflation and so real wages are lower than what they were decades ago. Now, the most effective way that people on low income can receive better value from their income, so to say, is to adjust the lower marginal income tax brackets (ie expand tax-free thresholds). In other words, attempting to increase the minimum wage to increase the real value of the wage isn't going to work because inflation will increase in proportion.[/QUOTE] Yeah there's tons of different factors that's why I snipped, can't really be arsed with a business discussion at 1am.

I should note that only their servers get minimum wage, so it's not like their whole staff is getting a 75 cent raise. They also support tip credit, which means the more tips you make the less they pay you.

[QUOTE=Noss;45624792]Yeah there's tons of different factors that's why I snipped, can't really be arsed with a business discussion at 1am.[/QUOTE] A lot of factors, yes. Fair enough. Honestly, the best way the standard of living of people on or close to the minimum wage will increase is if personal income tax brackets are adjusted. Going on federal personal income tax alone (apparently US states also impose their income personal income taxes as well?), someone who earns US$290 per week (minimum wage, full-time) pays something like $31 of that as tax (or around 10.6%). Someone who earns the full-time minimum wage here, $640AUD per week, pays around $55 tax on that (or 8.6%). And our states do not currently impose their own income taxes. And there's more, because if you earn less than $350AUD per week (ie part-time workers) here you pay $0 in tax. If you earn only $400AUD per week, you pay (400-350)*0.192 or roughly $10 (2.5%). Yes, you can claim deductions on what you owe in the US, but you can do that here as well (and the low income offset is automatically calculated at tax time here). What the US needs to do is establish a tax-free threshold (like our $350 per week here) and then shift the current brackets upwards, then increase the rates for the highest brackets to compensate for the reduced tax revenue from low earners.

[QUOTE=AugustBurnsRed;45624944]I should note that only their servers get minimum wage, so it's not like their whole staff is getting a 75 cent raise. They also support tip credit, which means the more tips you make the less they pay you.[/QUOTE] not that tip credit is a good thing

[QUOTE=ilikecorn;45625781]Tipping is fucking bullshit in our country. "oh we don't have to pay you minimum wage, because you'll make it back in tips lol; sucks to be you".[/QUOTE] That's why I always tip a lot. One time I left a waiter $10 for a $30 meal.

[QUOTE=Bradyns;45623449]That's quite a zinger.[/QUOTE] It reminds me of my previous boss, who kept telling me he'd love to pay me more except I needed to work faster (from what I gathered on his "golden child" who works fast as balls, this means "half-ass the fuck out of everything"). A few weeks later he pulls me aside after work and congratulates me on my 50 cent raise. Not two days later, he pulls me aside after my shift and says "I can't afford to pay you what I'm paying you".

[QUOTE=Zero-Point;45625954]It reminds me of my previous boss, who kept telling me he'd love to pay me more except I needed to work faster (from what I gathered on his "golden child" who works fast as balls, this means "half-ass the fuck out of everything"). A few weeks later he pulls me aside after work and congratulates me on my 50 cent raise. Not two days later, he pulls me aside after my shift and says "I can't afford to pay you what I'm paying you".[/QUOTE] Small businesses are rocky with payroll budgeting, I've learned through hard experience.

[QUOTE=Emperor Scorpious II;45625961]Small businesses are rocky with payroll budgeting, I've learned through hard experience.[/QUOTE] It wasn't a small business, it was worse. It was FAST FOOD. (Taco Villa)

[QUOTE=AugustBurnsRed;45624944]I should note that only their servers get minimum wage, so it's not like their whole staff is getting a 75 cent raise. They also support tip credit, which means the more tips you make the less they pay you.[/QUOTE] From the tone of the articles this is not about minimum wage increases, this is about no tip credit being given to offset the increases in minimum wage. I think that's a bullshit argument because the business is just passing the labor cost to the customer via tips. Part of the point of a minimum wage is to ensure the employer pays a base amount. The employer can then charge the customer what's needed to gain a profit. This guy is trying to have his cake and eat it too. He wants to pay his employees less, have the customer cover their extra pay by tipping, then not have to raise costs due to increased minimum wage.

[QUOTE=Zero-Point;45625999]It wasn't a small business, it was worse. It was FAST FOOD. (Taco Villa)[/QUOTE] Fast food chains act much like small businesses, especially franchises. They don't get payroll budgets from a corporate office somewhere else, they have to use what they make, which at times can be very little.

[QUOTE=ilikecorn;45625781]Tipping is fucking bullshit in our country. "oh we don't have to pay you minimum wage, because you'll make it back in tips lol; sucks to be you".[/QUOTE] Well, if they don't make at least minimum wage in tips, the employer has to cover the difference. [editline]7th August 2014[/editline] But yeah, it's kind of sad that we, in the US, have attributed tipping to be an act of pity.

[QUOTE=ilikecorn;45625781]Tipping is fucking bullshit in our country. "oh we don't have to pay you minimum wage, because you'll make it back in tips lol; sucks to be you".[/QUOTE] Tipped wait jobs are some of the best paying jobs a person can get with no experience, much better than non-tipped food service jobs.

My brother tips $50 sometimes. Except for that one time that the waiter tipped him because the waiter was so bad at everything(hell the restaurant was) including counting change.

[QUOTE=RichyZ;45626427]to the people disagreeing if you have the charisma and you are a good person to be around, you can expect to make 100+ a night not everyone has those ofc[/QUOTE] I'm going to assume the people disagreeing aren't old enough to work. My statement is so obviously true to anyone who's actually looked at what jobs are available to someone with no experience and how much money people make on average in tips at a mid level restaurant.

Depends on the restaurant. Has to be busy and has customers who can/will tip. Ive heard theres a bunch of wealthy, stuck-up people in Stillwater. Doesnt surprise me that someone is pissed they have to pay their employees a wage thays slightly closer to being liveable.