State Rep. Jaime Greene (R-Richmond) released the following statement after joining her House Republican colleagues to demand action from Democratic leadership to protect Michigan’s tipped wage workers and the hospitality industry:
“Without swift legislative action, Michigan’s hospitality industry could face devastating layoffs and business closures early next year. Yet, Democrats in leadership have chosen to ignore this looming crisis, instead prioritizing their extreme political agenda.
“For months, restaurant workers have been sounding the alarm, pleading for a solution to safeguard their livelihoods. House Republicans and I have been working tirelessly to preserve the tipping system that so many workers and small businesses rely on. Unfortunately, as the legislative term nears its end, Democrats have failed to engage in meaningful discussions or offer a viable plan. It’s past time for them to come to the table and work toward a solution that protects Michigan’s workers and businesses.”
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A recent survey by the Michigan Restaurant and Lodging Association illustrates the dire consequences of letting the radical changes in the 2018 proposals stand:
- 66% of restaurant owners say they would be forced to lay off employees.
- 20% would be forced to shut their doors.
- 42% would be forced to cut operating hours.
- More than 92% of restaurants would be forced to hike prices, with many anticipating increases of 20% to 25% by early 2025.
Another survey found that 82% of Michigan restaurant servers wanted to keep the tipping system in place, and 79% worried about losing their job if the tip credit were eliminated.
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