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New Analysis: California State Data Show A.B. 1228 Unfairly Targets Franchisee-Owned Restaurants: California’s franchisee-owned fast food restaurants represent less than one percent of all wage claims
April 2023
Arlington, VA – Today, the Employment Policies Institute (EPI) released an updated analysis of California wage claim data related to fast food restaurants and franchisee-owned establishments. The update includes California Department of Industrial Relations data on wage claims through 2022, and provides a breakdown of the fast food industry by franchisee ownership. The new update undermines the central argument to Assembly Bill 1228, which would create joint… -
STATEMENT: Governor Shapiro’s $15 wage could cost Pennsylvania 143k jobs
March 2023
In his inaugural budget address Tuesday, Governor Josh Shapiro proposed raising the minimum wage to $15 per hour as early as January 1, 2024 per his state budget. This would more than double Pennsylvania’s current minimum wage in less than a year, and small businesses have already expressed concerns about adapting to such a hike. The majority of economists oppose the $15 minimum wage target, arguing it… -
STATEMENT: Opposition to Tip Credit Elimination in Maryland
March 2023
This afternoon, the Maryland Senate Finance Committee will hear public testimony on S.B. 803 to eliminate the state’s tip credit and raise Maryland’s tipped minimum wage by more than 300 percent. Employment Policies Institute’s director of research Rebekah Paxton will testify to present data on the damaging consequences of this bill. Among the damage tip credit elimination has brought to other states, Rebekah’s testimony will cover: Three… -
STATEMENT: Senate Proposal to Cost Illinois Thousands of Tipped Restaurant Jobs
February 2023
State senators have introduced SB 293, which would eliminate the state’s tip credit that allows restaurant service employees to count tips toward the minimum wage requirement. The tip credit system not only allows servers and bartenders to earn well above the standard minimum wage through their tips, but has been championed by employees themselves across the country. At the federal and state level, bipartisan coalitions of legislators… -
Study Finds Eliminating State Tip Credits Could Cost 800k Jobs, $2.2B in Earnings: Average Tipped Worker Families Could Lose Nearly $1,300 in Annual Income
November 2022
Arlington, VA (November 3, 2022) – Today, the Employment Policies Institute (EPI) released a new analysis by economists from Miami and Trinity Universities estimating the consequences of eliminating the separate minimum wage for tipped employees. The study results speak directly to current efforts to eliminate state and local tipped wages through various legislation and ballot measures. The tipped wage enjoys wide support from tipped workers, who are… -
Study Showing Tipped Minimum Wage Trends Serves as Cautionary Tale for Lawmakers : Study from University of California-Irvine Economists shows a higher tipped minimum wage is “never associated” with reducing poverty among restaurant workers
August 2022
Washington, D.C. – (August 15, 2022) Today, the Employment Policies Institute (EPI) released a new study by University of California-Irvine economists David Neumark and Maysen Yen that follows state tipped minimum wage hike trends over the last decade. The study comes as organizations such as One Fair Wage continue to push restaurants and lawmakers to end the use of tip credits, and instead push for a flat…