Building power for working people

Chicago’s Radical Solution For Broken Tipping Culture

What if corporations just... paid their workers more?

We dug into how American tipping culture got so broken, and the fight to fix it.

It turns out that your tips are subsidizing the payrolls of multi-billion dollar chains, while they pay their workers under minimum wage.

It’s a system rooted in slavery, and pushed by a wealthy restaurant owners onto the rest of us.

But there’s a growing movement to change it.

Take Chicago, for example. The city just voted to eliminate the subminimum wage for restaurant workers.

Currently, tipped workers like servers are paid $9.48 an hour plus tips. The new law will raise that to the full minimum wage of $15.80.

The compromise approved by the Committee on Workforce Development calls for tipped workers — now paid $9.48 an hour — to receive 8% annual increases beginning July 1, until reaching 100% parity with the regular hourly minimum wage on July 1, 2028.