Waging Change
44Waging Change
For many workers in the US, pay is pitifully low, with hospitality workers receiving just $2.13 an hour. But as Biden backtracks on a minimum wage increase, hope for better pay has become a pipe dream.
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In many American states, hospitality workers receive a 'sub-minimum wage': it is expected that their mere $2.13 an hour will be supplemented by tips. Without tips, all pay goes to taxes. 'It's disheartening, soul-crushing, to open up a pay check and see zero', says one activist. Why does such a profitable, fast-growing industry pay so little? 'The National Restaurant Association is the most organized and powerful employer lobby in Congress', explains attorney and activist Saru Jayaraman. Since 1991, an agreement has been in place that the industry's sub-minimum wage will be frozen at $2.13 an hour, regardless of regular minimum wages changes. There are fears that an increased wage will equal less jobs and raised prices. 'Actually, in the places that have raised the minimum wage, none of the nightmare scenarios happened', says senator Jan Schakowsy.
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Ginzberg Productions – Ref. 8022