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|Articles - January 2011|
|Thursday, December 16, 2010|
A recent ruling by the Ninth Circuit Court of Appeals that allows food service employers in Oregon and Washington to require employees to participate in a “tip pool” is being welcomed by the industry but not some workers.
A Vita Café server sued the Portland restaurant in 2009 in protest of the pool in effect at the time. The ruling will allow restaurants to redistribute some of servers’ tips without violating federal wage and hour law. Oregon Restaurant & Lodging Association spokesman Bill Perry says the ruling gives restaurant owners another way to get around additional costs such as the minimum wage increase effective this month when Oregon’s minimum wage will go up 10 cents to $8.50 an hour. But the server community is worried about the ruling’s implications. “We’re not against tip pooling,” Portland Restaurant Workers Association spokesman Jim Nolan says. “We just think the power to make that decision should be the worker’s, not mandated by the employer.”
Though most servers balk at a system that seems to be a disincentive to provide good service, Perry asserts tip pooling is beneficial to a business as a whole. “Some servers will see themselves as a ‘wage earners’ rather than a ‘commission salesperson,’” he says.“[But] it does give restaurant owners a new management tool.”
With the tip pool, restaurant owners can lower base wages of employees who often are not tipped out, such as cooks, and supplement their wages with tips that are typically distributed to servers. This can help lower prices and keep customers, Perry says.
Randy Capron, maitre d’ of Huber’s, Portland’s oldest restaurant, sees the practice as effectively lowering server pay. “You’re walking away with an 8% not a 20% tip.” Capron says.
The full implications of the ruling for the restaurant and hospitality industry are still unclear. Hospitality law expert Greg Duff recently wrote on his blog: “The short answer is ... that employers in Washington and Oregon may initiate mandatory tip pools under certain circumstances.”
Wednesday, August 27, 2014
BY JESSICA RIDGWAY
How State Representative Julie Parrish (House District 37) balances life between work and play.
Friday, September 12, 2014
BY TOM COX | OB BLOGGER
I often talk about what leaders can do. What about followers? If you’re a team member and you’d like to add positivity to your team, what might you do?
Wednesday, August 20, 2014
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The 2015 survey launched this week. It is open to for-profit private and public companies that have at least 15 full- or part-time employees in Oregon.
Thursday, July 24, 2014
BY CLIFF HOCKLEY | OB GUEST CONTRIBUTOR
With the increasing retirements of Baby Boomers, a massive real estate shift has created a significant increase in demand for NNN properties. The result? Increased demand has triggered higher prices and lower yields.
Thursday, July 24, 2014
BY LINDA BAKER | OB EDITOR
Remember the naysayers? Those who called the South Waterfront aerial tram a boondoggle? Those who rejoiced at the massive sell off of luxury condos at the John Ross and Atwater Place?
Tuesday, August 26, 2014
BY JON BELL
Startup culture is all the rage. Is there a downside?
Tuesday, August 26, 2014
BY KIM MOORE
The ubiquitous fast-food restaurant may be on the decline.
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