White House Calls For Raising Minimum Wage For Tipped Workers

While the federal minimum wage for hourly workers has increased from $4.25/hour in 1991 to the present level of $7.25, the minimum wage for workers earning tips has remained at $2.13, meaning tipped workers have had to increasingly rely on tips because their base wage has not kept up with the rest of the workforce. This morning, the White House made the case that it’s time for tipped workers to get a pay raise. [More]

McDonald’s Employees In 3 States File Wage-Related Lawsuits

McDonald’s Employees In 3 States File Wage-Related Lawsuits

Over the last two days, McDonald’s employees in California, Michigan and New York have filed a total of seven class-action suits against the fast food giant and various franchise operators, alleging a range of violations, from failing to pay overtime, to making employees work undocumented hours. [More]

Famous Philly Eatery To Pay $8.5 Million For Short-Changing Servers’ Tips

Famous Philly Eatery To Pay $8.5 Million For Short-Changing Servers’ Tips

More than 1,200 current and former employees of a well-known bar/restaurant chain in Philadelphia are going to share in an $8.5 million settlement over allegations that the eatery’s owner illegally demanded servers’ tips and also failed to pay minimum wage and overtime to tipped employees. [More]

Gap Promises To Increase Worker Minimum Wage To $10/Hour… In A Year Or So

Gap Promises To Increase Worker Minimum Wage To $10/Hour… In A Year Or So

While lawmakers argue about the possible benefits and risks of raising the federal minimum wage by more than 25%, the CEO of Gap Inc. says it will gradually increase its lowest wage tier to $10 an hour over the next two years. [More]

Walmart “Looking At” Support Of Minimum Wage Increase

Walmart “Looking At” Support Of Minimum Wage Increase

With much talk in the news these days about whether or not to raise the minimum wage, the nation’s largest private employer said today that it is considering throwing its support behind a plan to increase pay nationwide to at least $10.10/hour. [More]


Proposed Minimum Wage Increase Would Give Tipped Workers First Raise Since 1991

Minimum wage is a hot topic of discussion at the moment, with President Obama expected to address it in his State of the Union address this evening. Senate Democrats are pushing to raise the minimum wage, and the lawmakers are suggesting an increase in the minimum tip wage to go along with. [More]

“Sell Your Xmas Gifts” And Other Pearls Of Wisdom From McDonald’s Employee Site

“Sell Your Xmas Gifts” And Other Pearls Of Wisdom From McDonald’s Employee Site

A few weeks back, the McDonald’s McResource employee hotline made headlines when a company rep “helped” a 10-year McDonald’s employee improve her lot in life by directing her to numerous welfare programs to supplement her income. What other gems of advice do the McResource people have for employees? [More]

McDonald’s McResource Help Line Tells Worker How To Get Welfare Benefits

McDonald’s McResource Help Line Tells Worker How To Get Welfare Benefits

A recent study showed that 52% of non-management fast food workers in the U.S. are receiving some sort of federal benefits to supplement their wages, and that McDonald’s employees alone account for an estimated $1.2 billion (with a “b”) in annual payouts. And when employees call the McDonald’s hotline for workers looking to improve their financial position, operators direct them to various welfare programs. [More]

(Source: NELP)

Study: Low-Paid Fast-Food Employees Cost Taxpayers $3.8 Billion A Year

As McDonald’s own suggested employee budgets indicate, it’s not easy to support yourself or a family on just a job behind the counter of a fast-food restaurant. And a new study claims that the 52% of non-management fast-food workers who take home some sort of federal subsidy are costing taxpayers around $4 billion a year. [More]

Rick's International claims that dancers are independent contractors, but a federal judge disagrees.

Judge Says Strippers Are Employees, Merit Minimum Wage

Are dancers at a strip club independent contractors or employees? That’s the question involved in a lawsuit against a popular Manhattan club and in at least one other pending lawsuit against a club in Colorado. [More]


McDonald’s, Burger King, Wendy’s Employees In 50 Cities Planning To Walk Off Job Today

If you’re in the mood for a Whopper, Baconator, or Big Mac today, you might be in for a wait, as some employees at two of the nation’s largest fast food chains have pledged to stage a walk-out today in protest against the low wages paid to workers in the fast food industry. [More]

(Ron Dauphin)

D.C. Lawmakers Pass Minimum Wage Mandate Despite Walmart’s Threats To Pull Stores

Walmart’s efforts Tuesday to deter Washington D.C’s city council from passing a bill that would require certain large retailers to pay their employees at least $12.50 — a significant bump above the city’s minimum wage of $8.25 — didn’t work. Despite the big box company telling lawmakers it’d scrap plans for three stores in the area and take a close look at the three already underway, council members passed the bill by a vote of 8 to 5 yesterday. [More]


The Argument For Abolishing Restaurant Tips

As any Consumerist reader knows, tipping is a hot-button topic, with some people arguing that they will only leave a tip when they receive excellent service, while others point out that most tipped employees — especially in restaurants — make well below minimum wage and rely on tips for survival. Then there are those who attempt to make the case that tipping should just be done away with, as it has been in most of the world. [More]


Walmart Tells D.C. Lawmakers It’ll Pull 3 Stores If City Passes Minimum Wage Bill

Walmart officials warned Washington, D.C. lawmakers yesterday that if the city council passes a new super-minimum-wage proposal, it’ll pull at least three stores planned for the area. Executives and lobbyists delivered the news in person to council members yesterday, less than 24 hours before a vote was scheduled on the legislation. [More]


New York Attorney General Investigating Walmart, Home Depot, Others Over Prepaid Payroll Cards

Though it’s been a point of concern with employee-rights advocates for years, the use of prepaid debit cards as a substitute for traditional payroll checks is finally getting attention from the powers that be, with the New York state attorney general’s office investigating the practice at some of the nation’s largest employers. [More]

(Mike Rollerson)

Is It Legal For Employers To Make Employees Pay For Uniforms?

Millions of Americans have jobs that require them to sport a uniform of some sort. This is especially true in retail, food service, hospitality, and other public-facing industries where uniforms further the brand and aid customers in identifying employees. But should — and can — employers require that workers fork over their own money to cover the costs of these outfits? [More]


After A Dine-And-Dash, Is It Legal For A Restaurant To Take Money From A Waiter’s Tips?

It’s a story we’ve heard any number of times, both professionally and from friends in the restaurant world. A customer splits without paying the bill, or doesn’t leave enough to cover the full amount; to make up for the loss, the manager takes it out of the waiter’s pay. Can this be legal? [More]


Costco CEO Comes Out In Support Of Minimum Wage Increase

With the President using the State of the Union address to call for an increase to the federal minimum wage rate to $9, and lawmakers introducing a bill yesterday that would actually increase that amount to $10.10 over the next two years, folks around the country are debating the merits and problems of the issue. But Costco CEO Craig Jelinek says he is firmly behind the move. [More]