In a recent government meeting, discussions centered on the treatment of tipped workers in the restaurant industry, highlighting significant disparities in wage practices between Republican and Democratic administrations. Miss Jayaraman, representing 300,000 restaurant and service workers, emphasized the pressing need for a full minimum wage plus tips, citing a staggering 84% violation rate of wage laws by employers.

Jayaraman explained that many tipped workers are often required to perform \"side work\"—tasks such as rolling napkins and setting tables—that do not generate tips. This practice can lead to wage theft, where workers fail to earn enough to reach the full minimum wage. Surveys indicate that 50% of workers regularly experience shortfalls in their earnings due to inadequate tips, with employers not compensating the difference.

The discussion also criticized the Trump administration's policies, which Jayaraman described as detrimental to tipped workers. She noted that the administration's initial actions included attempts to classify tips as the property of restaurant owners rather than workers, undermining the financial security of those reliant on tips for their income. Furthermore, the removal of protections for side work exacerbated the issue, allowing employers to pay subminimum wages while requiring excessive side work.

Addressing concerns that implementing a full minimum wage with tips could harm businesses, Jayaraman pointed to seven states that have adopted this model. Research shows these states have experienced higher rates of small business growth, job creation, and tipping averages compared to the 43 states that maintain a subminimum wage. During the pandemic, these states outperformed their counterparts, reinforcing the argument for fair wage practices in the restaurant industry.