Thursday, May 5, 2016

What's the Real Wages of Those Lowly Servers ?

     The debate over minimum wage becomes clouded when you are in the service industry. Recently a local restaurant owner analyzed his own payroll since Andy raised the server wage from $5 an hour to $7.50. (It's due to go up further in the future, as the overall minimum wage rises.)
      The actual reported wage for servers ranged from $24 to $32 an hour taking into account tips. Realize that even in the credit card age, some tips flow in cash and are seldom reported, so hourly rates could be higher.   Of course some employers also pay above the statutory minimum.
        Based on my experience these numbers see in the ball park, with some higher and some lower.

       Now, of course there is a distortion as this is not something you can earn over five eight hour periods. A lot of servers are on much shorter shifts. Pay varies with the quality of service, the likeability and appearance of the server, the menu, the clientele and the nature of the establishment.
       So government trying to establish appropriate wages doesn't always work as easily as thought.

8 comments:

Anonymous said...

Government established the appropriate wage at Climax and that wage is "zero".

Anonymous said...

Nice anecdote Jeff. Name the restaurant or I say the numbers are B.S.

Anonymous said...

With the increase in the minimum age, I feel far less obligated to tip and when I do tip, the percentage is going to be much less. No more 18 percent; now 8 to 10 percent max and then only when the service deserves it.

Anonymous said...

The minimum wage for servers was never $5 and it isn't currently $7.50. Their minimum wage is $9 but the employer gets the 1st $1.50 of the tip, if any. If there is no tip, the server is supposed to get $9, not $7.50. How can you not know this being in the business??? It's all spelled out in the thousands of regulations on labor.ny.gov.

Anonymous said...

1045 has obviously never waited tables for a living.

Anonymous said...

2:24 has never worked construction if they think waiting tables is a tough job.

Anonymous said...

If a restaurant adds a 20% tip to the bill I would never go there again. The tip is not the restaurant owners business.

Anonymous said...

What do construction workers get for tips these days 906? Derp er derp... :D