Legislators pass resolution in opposition to removing the tip credit for tipped food service employees

Modified: December 18, 2018 5:31pm

12/18/2018

The Erie County Legislature unanimously passed a resolution in opposition to removing the tip credit for food service employees. The resolution was introduced and co-sponsored by members of the Legislature’s Minority Caucus.

Last year, Governor Cuomo proposed ending the tip credit, which is the difference between what a tipped employee makes and what the established minimum wage is. Removal of the tip credit has been criticized by restaurant and service industry employees and business owners who will be negatively impacted by the proposal.

Legislator Ed Rath said, “By getting rid of the tip credit, businesses will have to incur much greater costs. Additionally, local restaurant owners have expressed concern that higher wages for servers and bartenders could stop patrons from tipping. I urge Governor Cuomo to re-think this proposal that will likely harm hard-working small business owners and their employees.”

Minority Leader Joe Lorigo said, “If this proposal becomes a reality, many local establishments in our community will suffer by being forced to raise prices and reduce staff, among other financial setbacks. This is unfortunately another way in which New York State makes it challenging for small businesses to thrive.”

A copy of the resolution can be found here.

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