Say goodbye to tipped minimum wage: Initiative 82 marks a turning point for minimum wage workers
January 23, 2023
DC voters have overwhelmingly voted to pass Initiative 82, which will phase out tipped minimum wage by 2027. The legislation marks a turning point for workers’ rights in the District.
When I first heard that some of my friends were making $6 an hour, I was shocked at how that could be legal. Although we aren’t paying for rent or groceries yet, the idea that workers in DC could be paid so little was surprising to me, especially since I’d heard that DC’s minimum wage was relatively high.
Currently, tipped workers in DC can earn $5.35 an hour with the assumption that tips will cover the rest of the wage and raise it to $16.10, DC’s minimum wage. However, this often isn’t the case. While restaurants are required to make up the difference between the tipped wage and minimum wage, there is little to no regulation to hold employers to this standard. Workers are often left feeling cheated and underpaid, and restaurants are seldom held accountable.
Although the Initiative will take a couple years to be fully implemented, mandating $16.10 an hour for all workers will have a significant impact on minimum wage employees, many of whom are women, African American, or Hispanic. Wage theft disproportionately affects these groups, but with the passage of Initiative 82 the gap between tipped minimum wage workers and those earning $16.10 will be closed. Moreover all workers, tipped or not, will be paid minimum wage by 2027, which is crucial in a city as expensive as DC.
An almost identical initiative was passed in 2018 by a slim margin, but was subsequently overturned by the DC council. In both 2018 and 2022, the initiatives faced strong opposition from restaurants. According to DCist, from July to September of this year, the campaign against Initiative 82 received over $91,000 in contributions, compared to $2,720 received by the campaign supporting Initiative 82. However, DC residents have clearly shown that the political power of the restaurant industry cannot sway the majority of voters.
Opponents of Initiative 82 argue that customers will become stingier with tips due to the addition of service charges in some restaurants. However, the positive impact Initiative 82 will have greatly outweighs the possible yet minute decrease in tips earned by workers.
It’s important to remember that local initiatives can be especially impactful. Next election, be sure to research your area’s local legislature and vote! •