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Speak out now on tip credit law

In January, Governor Cuomo announced plans to examine and possibly eliminate the tip credit, the labor law that allows restaurants to pay tipped employees a minimum wage of $7.50, as opposed to $10.40, with the idea that tips from customers will make up the difference. And they surely do. If tips don’t add up to the $10.40 wage, the employer must pay the difference.

This tip credit system has allowed the American restaurant industry to thrive and grow, while keeping menu prices low and incentivizing good service. Tipped employees fare exceptionally well under this system, by far out earning their kitchen counterparts, and often management and owners. They didn’t ask for this change.

But the well-funded labor organization ROC United has been whispering in the governor’s ear that women who work for tips are harassed, mistreated, and live in poverty, citing data that defies common sense, and conflating tipping with the #MeToo movement.

They also claim that minorities and immigrants are regularly discriminated against by owners, managers, and customers. I suspect, with good reason, that their goal is to ultimately unionize the industry, and abolishing tips is the starting point. But as a Hispanic woman business owner, a mother, and a liberal, I dispute these claims.

These things undoubtedly occur, and there are certainly unethical owners and nasty managers and customers, but to punish my business, and every other honest, hard-working restaurant owner I know, for the crimes and bad behavior of a few, is grossly unfair. We would all be better served if the governor focused the labor department’s attention on punishing those who commit these egregious acts.

I own The Gate House Café in Rochester with my husband Michael, and we’ve been fighting the governor’s initiative since February, when Maggie Raczynski, a brilliant bartender from an Outback Steakhouse in the Albany area, formed the Facebook group Supporters of the Tip Credit in NY, now 23,000 people and growing. This groups consists primarily of tipped employees, who are wise enough to be concerned about their livelihoods and angry enough to fight back. Most of them experienced the last hike in 2016, when the wage went from $5.50 to $7.50. This was a brutal hit for the industry, a $2 per hour increase, per tipped employee. Everyone struggled, some didn’t make it, and some just barely survived.

The Gate House, even with a booming business, limped through 2016, trying to get those numbers right and absorb that increase without laying off too many people. We’re almost fully recovered, but to get there we had to eliminate a daytime bartender, busser, and server, with equal cuts to the dinner shift. We are consistently understaffed, and the customers can feel it, but we are determined to find a way to continue to employ the 50 souls who depend on us for a paycheck.

Today I attempt try to educate the people of Monroe County on the issue, and to plead with my fellow restaurant people to mobilize. The governor’s public hearings examining the matter are ending soon; the last one is in Manhattan on June 27th, and written testimony can be submitted on the labor department’s website until July 1.

I’ve been to three hearings, and while I’ve seen intense pushback from Saratoga Springs, Albany, Syracuse, and Binghamton, Rochester has been oddly silent. Are my peers not concerned? I’ve seen no local coverage, no opinion pieces, nothing at all from Rochester except a handful of passionate servers and owners driving around the state pleading for mercy at the hearings.

I now ask my fellow restaurant owners and industry people to stand up and be heard. Our time is running out. Complacency isn’t going to work, nor is letting others fight the battle for you. We are strength in numbers, and every one of your voices are crucial to our success!

KRISTEN FLORES-FRATTO

Flores-Fratto is co-owner of The Gate House Café in Village Gate

RBTL’s theater won’t hurt others

I just can’t wrap my mind around the mentality of those who oppose a new RBTL venue on the basis that it “may,” “might,” or “will possibly” affect the smaller arts in a negative way.

I just keep coming back to two words: Boo and Hoo. I mean, seriously. What is it about this city that makes us fight against having really nice things? Is it a collective self-esteem issue that reproduces like lilacs? Something in the Genesee water or beer? A side effect from our garbage (plates), perhaps?

I mean no disrespect to any of the smaller art venues and promotions. But if you can’t sustain your own existence without holding back progress, then you’re no more than a vanity company and shouldn’t be around in the first place. That’s simply not the case for many of these groups. Like those, pesky genetically engineered movie dinos, art finds a way. Most of these “endangered” arts programs will be just fine.

And let me be honest. I, and I’m not alone, love the Auditorium Theatre as a building. I just don’t love going there to see a show. And there are a lot of people who, for whatever reason, don’t go to Blackfriars or Geva or the Downstairs Cabaret. Preventing a beautiful new theatre won’t magically make those people start going to any of those places. But not having one will prevent thousands from attending the arts, and that’s the real tragedy if this project doesn’t come to fruition.

TOM CZARNIAK

5 replies on “Feedback 6/27”

  1. TOM CZARNIAK – Sorry, but I have to dispute your premise. You equate opposition to a new McTheater in downtown Rochester to “holding back progress”. Of course many of us do not see the perpetual expenditure of tens of millions of scarce tax dollars to build and maintain such a theater as “progress”.

    As to your dont worry, be happy casual dismissal of the potential negative impact of a new theater on existing venues, Id point out that to date no viable study has been produced which address that issue. Nor can a communitys cultural life be evaluated in the same, cold-blooded, survival-of-the-biggest manner in which its commercial businesses are judged. It would be as realistic to claim that a new mega-theater will drive many venues out of business, only to then fail itself, leaving decades of slow progress of the Rochester theater scene a smoking ruin.

    And at the end of the day, the entire business case for a new theater (if one can call the opinions of advocates a business case) boils down to if we build it, they will come. Ask yourself where they will come from. Do you anticipate that a pool of hordes of new theatre-goers will suddenly be generated by the prospect of a shiny new venue? Or will that pool simply consist of those of us who are already attending GEVA, Black Friars or one of the other current venues?

  2. Jack Sullivan,
    I am not understanding your rebuttal/feedback.

    Thomas’ article is concerning a new venue which will produce more theater and arts for the community. But it is the community which is resistant. As for progress, there are sufficient articles (yes, peer-reviewed) and data in which suggest that the arts are a driver for progress. According to Stupples (2014), “The cultural sector is currently being touted as an undervalued contributor to development, able to support economic growth, while promoting social inclusion and cultural diversity” (p. 115).

    Also, I am curious to understand where you have addressed that the “don’t-worry-be-happy” philosophy would have potential negative impact. I am reading this article as the small venues are feeling threatened by the new entrants to the market. The “starving artists” (if you will) who ARE the resistance. In fact, the rise of a new venue may put more revenue in the pockets of the art community in and around Rochester. I also did not see a socio-Darwinism movement, but your feedback has implied this over and over. I am curious to understand what you mean.

    Lastly, who cares about the “bottom-line”? This is art and not finance. I would bet that you would not feel the impact, especially if the venue was successful. There is no mention of budgets, nor is there mention of dollars spent, yet it is implied that the art community could not produce more “customers”, and that the community has been tapped. It is also implied in your feedback that there would only be cannibalistic numbers, meaning that instead of increasing revenue, it would shift a capped budget from organization to organization. How do you come to that conclusion? There is plenty of data that suggest that other markets do just fine when a new entrant is introduced to the market. Take for example the Vegas Golden Knights. The critics shared your very opinion. That ice hockey would never survive or take off in the dessert. This is not true, as hockey in all forms have been amplified in and around the Las Vegas area. I challenge you to find an ice hockey venue (which were pinching pennies last year) around town that has room for a new youth hockey league, or try to find a place on a “learn to play hockey as an adult” format. I anticipate one may say “that is not a good comparison”.. but why not? In both situations, there was dismal numbers for a largely popular experience, but seemed that it needed a new inlet to allow the market to explode.

    You have a good knack for writing, but I believe your analysis lacks clarity and understanding of the point Thomas was trying to make.

    Thank you for sharing,

    Dr. Dressing

  3. My premise, such as it is, is that those who oppose the theater because of the potential harm it may cause smaller venues probably need a tissue, handkerchief, or shoulder to cry in and/or on.

    I didn’t mention the money. That’s for people far smarter than this guy (points to himself with two thumbs, winks for the camera) to figure out. Personally, I would love to see any and all scarce tax dollars to go into a beautiful new theater. Something I could use, enjoy, and be proud of. But again, that’s a discussion for another day. But rest assured, Sully, if they’re taking donations I’d be happy to smash my daughters piggy bank and send over my fair share.

    So yeah, I intentionally left money out of it. But you didn’t, which is telling. Because its the first line of defense for the opposition. I have every reason to believe that some people care about this. And I respect that. Its not couch change. But I also know that many in the opposition hide behind it. Because really, they’re ONLY worried about the smaller troupes and promotions.

    And so, you reveal yourself as the latter, Sully. Because if you just left it at the tax dollars, then you made your point. But you couldn’t keep your emotion out of it. I don’t know exactly which organization you are batting for here, but surely you have a vested interest in one, if not more. And that’s fine, and I even respect that. Fear of the unknown is a scary thing.

    But Sully, you end your rebuttal by asking me where the people will come from. You ask if I think hordes of new theater goers will flock to a new, shiny theater. And the answer is…yes. That’s exactly what I think. Why? To borrow from Sy Sperling..I’m not just the president, I’m also a client. I absolutely would attend the new theater several times a year. I’m a latent theater lover, but have little interest in attending what we have now. No disrespect for the others, I enjoy GEVA, and I know there’s talented people doing great things locally. And while I haven’t done a door-to-door, I really do believe there are hordes of people that are like me. But best of all, I truly think everyone can co-exist. Maybe that’s just the wide-eyed dreamer mixed with a little Bobby McFerrin in me, or maybe, just maybe, I’m right.

  4. Voters would not care and might even strongly support the performing arts center if there was an iron clad guarantee that not taxpayer money would ever be used to bail theater out in the future.

  5. Tom Czar – When I read your statement top the effect that, ” You ask if I think hordes of new theater goers will flock to a new, shiny theater. And the answer is…yes. That’s exactly what I think.” I can only recall how Bill Johnson and CATS claimed that their “fast ferry” would have over one million riders in its first year of operation and would bring in $92,000,000 to the local economy. That pipe dream lasted less than three years and ended up costing taxpayers tens of million of dollars. A loss we’re STILL paying off.

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