Restaurant diners are footing the bill for rising minimum wages.

In lieu of steep menu price increases, many independent and regional chain restaurants in states including Arizona, California, Colorado and New York are adding surcharges of 3% to 4% to help offset rising labor costs. Industry analysts expect the practice to become widespread as more cities and states increase minimum wages.

“It’s the emerging new norm,” said Sharokina Shams, spokeswoman for the California Restaurant Association. She said California restaurants are adding surcharges as the state lifts the minimum wage every year until it reaches $15 an hour by 2023. It is currently at $10.50 an hour for employers with 26 or more workers.

The federal government hasn’t raised the minimum wage of $7.25 an hour since 2009, putting pressure on cities and states to boost wages locally to keep up with rising living costs. The effective minimum wage has increased in 27 states and Washington, D.C., since January 2014.

Many restaurant owners say they have added surcharges because jacking up menu prices can turn off customers who are sensitive to how much a sandwich or bowl of soup should cost. When prices do rise, “consumers often trade down in the types of menu items they order, choosing a sandwich instead of an entree, or they leave off beverages or dessert,” said Bonnie Riggs, restaurant analyst for NPD Group Inc.

As it was, the average customer check at casual-dining restaurants, which doesn’t include surcharges, rose to $14.70 last year, up nearly 11% from 2012, according to NPD.

Of course, it always gets passed on to the consumer.. always.

That is what so people do not seem to understand. They want these jobs to pay well but they balk at the higher costs.

I need more money to live!

Okay, here is more money but its now going to cost more to live.

I need more money to live!

Okay, here is more money but its now going to cost more to live.

I need more money to live!

Okay, here is more money but its now going to cost more to live.

I need more money to live!

Okay, here is more money but its now going to cost more to live.

Isn't it just amazing how greed creates greed in a loop?
Silly humans!

higher prices = fewer customers. Eventually the will have close.

prices on EVERYTHING have risen since I was in high school

they call it 'inflation',, which rarely is met by a similar rise in wages to keep up

at least this rise is something I can support,,,,,so I pay an extra 30 cent on 10 dollars of some junk that's not necessary anyway and some poor worker has a bit more to live off of

I don't see the problem, it's not breaking anyones bank

I got paid $1.10/hr when I worked in restaurants back in the late 60s.
At that time you could get a hamburger for 25 cents. It's called inflation. Get over it.

I got $3.50 (and that was more than normal places in the 90's) but our income came from tips.

Most in that industry (bars/restaurants) get their money from tips....at least down here. Most bars, the bartenders only get tips. When I was a waitress (at 1st hostess) I only counted on tips

in some areas of living expenses the INFLATION has far outpaced the wages



notice the increase in housing and college (even figuring for inflation) compared to the decrease in income and wage,,,

Back in Jersey and that area its the same way. They get a standard amount per hour and tips. Which seems to work out fine.

And I know there are exceptions to what I am going to say next.. some very valid exceptions

But

Usually those type jobs were done by kids or college students working their way into the work force. They would do it for a short time or a few years tops.. then move on. Same for other folks, to get them thru a period in their life.. then move on.

I don't think it was ever designed to be a career choice, unless that person chose it as their carrier.

Minimum wage for those getting tips, depends on the state. Most I know (here) make more money from only working for tips than someone getting hourly wages. Most pay the minimum (if they pay hourly wages) $2.50....minimum is $2.13 but their tips make the money

When people build a clientele, they can rake it in and only work a few days/nights a week and manage

They can make $200 in one night. Work 3 nights, that is $600 a week. More than most would make in a full time (5 days a week) woul make. Hell even the car hops at sonic make good money in tips here

That was then; this is now;

Most all of the folks cooking your food and washing your dishes in restaurants, cleaning your hotel rooms and offices, milking your
cows , cutting and packing your meat, and picking and processing your fruits and vegetables are not kids and college students working summer jobs. They are people with families trying to make a living.
That B.S. about "kids and college students" is brought to you by the same people that took family supporting work and sent it out of the country for slave wages and higher profits.

So I just went to my home bar and then Waffle house and asked about this. They ALL laughed. They make money from tips and do VERY good. Better than most. They know good service makes good tips

Most cooks do not make tips and are not "doing very good".

Workers in fast food places do not make tips and are not "doing very good".

Meat packers do not make tips and are not "doing very good".

Farm workers do not make tips and are not "doing very good".

Office cleaners do not make tips and are not "doing very good".

And these jobs are mandatory?. Where these jobs ever intended to be high paying jobs?.. where they ever intended to be a job that you could support your family with by working there.

Where they?

If you apply for a job, is the pay not disclosed to them?.. Are they being deceived in some way ?

You take the job then complain that the pay is not good?

Nobody is forcing these jobs on anyone.. If they can't accept the rate, then by all means.. don't take the job.

this culture does indeed promote and ram the idea that 'any job is better than no job' down the throats of the unemployed,,,,


and IF that is the case,, than the culture needs a way to attempt the type of 'any jobs' that can actually be lived on,,,,

You just don't get it do you? It's not a matter of "accept". It's a matter of that's all that's out there for some people. Not all of us WERE cut out to be CEOs of large corporations, entrepreneurs, or highly skilled technicians. A rising tide lifts all boats. It's been proven in some cities like Seattle, WHERE higher wages mean folks have more discretionary money to spend, which leads to a growing economy.

I get it perfectly fine.

And you.. do you.

You have to climb that ladder.. everyone does. you have to make yourself warrant more pay.

And you don't need to be a CEO of a corp. to do that. You need drive.. determination. You learned to warrant more pay.. its called experience.

That's how it works.. you learn.. the more you learn.. the more pay you get.. simple.

Again, the service industry is and has been a low paying industry from DAY ONE.no surprise there. And it is not mandatory to work in it... at all.

So you know it going in.. don't like it.. don't go in it.

Want more pay.. then bring something to the table that warrants more pay.

that is how business works.

you think any company is going to just give it to you...because you want it..doesn't work that way.. never has.

there is the obvious logic that one earns MORE the more experience they have with a company


what is not so obvious is that people rarely are staying with ONE company anymore,,,,,they start over each time 'at the bottom', even when they had already EARNED what they needed to provide for their family


when one starts a job, unless the position is ceo, manager, lawyer, or some other 'professional' title,, they start at the company on the bottom, regardless of how much more or less 'experience' they have than the others starting there,,,

and then there is the issue , regardless of the argument about 'earning' the pay,, of cost of living inflating at so much faster a PACE than the wages people are trying to live on,,,,