Quote:
Originally Posted by Bill14564
This is why *I* care:
I believe the price I pay for my meal goes towards paying the server the legally mandated minimum wage. I believe the tip I leave for the server is in addition to that minimum wage. If the "service charge" is actually used to pay the minimum wage then:
1. The restaurant misled me as to the real cost of my meal - instead of being charged $40 I was really charged $37.20
2. While I was led to believe I was putting $7.20 extra into the server's pocket, that money really went into the owner's pocket.
3. I unintentionally end up "stiffing" a server who provided decent service and that matters to me a lot
|
It is not correct that the tip is added to the minimum wage. Tipped employees are usually paid much less than the minimum wage, and the restaurant is allowed to apply the tip income to make up the difference between the lower wage and the mandated minimum wage. The court case, cited by the OP, ruled that the service charge could not be treated as tip income for the purpose of making up the difference between the lower income and the minimum wage.
I understand your point, but I don't think the restaurant can have it both ways. If they are charging a service charge for service, I don't think they should keep that money, and then to expect the customer to pay an additional fee in the form of a tip to the server. Just my opinion.