- On July 31st, the Michigan Supreme Court ruled that the minimum wage will increase starting next year in February 2025.
- Local business owners say restaurants may have some restructuring to do when the time comes.
- Video shows servers of Summerlands in Holt working on Monday.
(The following is a transcription of the full broadcast story)
Last week the Michigan Supreme Court ruled that the minimum wage will increase for tipped workers across our neighborhoods. Local servers who rely on their tips say they are worried that people may not tip as much or at all.
"I started doing it when I was 18 years old," said Jennifer Junk.
Jennifer Junk has been working as a server her whole life.
"I personally have never had a problem making a good wage."
But after the Michigan Supreme Court ruling late last week, minimum wage laws will change starting in February 2025.
"I normally average from $18-$25 an hour when I'm serving usually. So, on a normal good day, that's what you get. So, to go from that to $12 is a huge difference."
Junk worries about menu prices increasing. If prices increase, neighbors may be less likely to go out to eat.
"I'm a single mom so I take care of my kids by serving. That way, I may not be able to."
The Michigan Supreme Court ruling on a case from 2018, said a legislative action that prevented a gradual increase of the minimum wage was unconstitutional.
"I get why they want everyone to make a fair wage."
Tipped workers will go from making just under four dollars an hour plus tips to $10.33 an hour, and with the tipped minimum eventually phased out by 2029.
Server Omar Viera says he understands why it could be a good thing.
"They will have a dependable income instead of the highs and lows of the service industry," Omar Viera said.
Summerlands business owner Brian Hunt says his main concern is what this will do to the service industry and if neighbors will continue to tip servers entirely.
"Servers are compensated, they depend on those tips," said Brian Hunt.
Hunt also says it may change the entire service industry as owners may have to change menu pricing.
"I'm a little concerned on the impact it could have on the industry as a whole," Hunt said.
As of now, the question remains on whether neighbors will continue to tip their servers after this goes into effect.
"Hopefully people will reciprocate and know that we still work for tips," said Viera.
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