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The Crisis

The Michigan Supreme Court will soon decide if a 2018 action taken by the legislature known as “Adopt and Amend” was constitutional. If the court rules against the legislature, the restaurant industry will suffer because a 2018 proposal seeking to eliminate the tipped minimum wage and increase the minimum wage would likely be reinstated— creating an avoidable crisis six years later.

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The Fallout

If the court rules “Adopt and Amend” unconstitutional, the likely next step would be an increase of the minimum wage to about $14 per hour and elimination of the tipped minimum wage (the “tip credit”), resulting in a 250% increase overnight. The impact of swift and unsustainable wage increases to an industry still recovering from the pandemic will be catastrophic for Michigan’s second largest private employer.

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Tipped Workers Agree with These Concerns

Statewide surveys by the Michigan Restaurant & Lodging Association show:

  • One in six full-service restaurants would close their doors forever.
  • 40,000-60,000 restaurant jobs – mostly servers – would be lost.
  • 83% of servers prefer today’s system over a higher hourly pay and less certain tipping culture.
  • 79% of servers fear for their own job if the tip credit is eliminated.

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    We need your help

    How you can help #SaveMITips

    Act now to educate state decision makers and the public about the need for a legislative solution that protects your ability to earn far more than standard minimum wage.

    stories from the industry

    Affecting the lives of hardworking, honest people