Fight Breaks Out Before Public Hearing on Restaurant Tips

Earlier today, the Montgomery County Council held a public hearing on Bill 35-23, County Minimum Wage – Tipped Employees where servers, bartenders, and owners from local restaurants weighed in on a proposed bill that would change how businesses pay tipped employees in Montgomery County.  According to a report by FOX 5, two women from opposing sides of the issue got into an argument when entering the County Council building in Rockville that turned physical and “left one woman who opposed the bill bloodied and bruised.” No charges have been filed.

At the hearing, proponents of Bill 35-23 said it would reduce wage theft and help working families, while opponents of the bill said it would lower profits, increase prices for customers, and reduce the income that tipped employees currently earn. The bill would adjust the calculation of the minimum wage for tipped workers and phase out the tip credit amount under the Montgomery County’s minimum wage law. Currently, businesses are required to pay servers $4.00 per hour; if a server does not make the current minimum hourly wage ($15-16.70) per hour, employers are required to make up the difference.

If the bill passes, there will be incremental increases over the next five years:
• $4.00 per hour, until July 1, 2024;
• $6.00 per hour, effective July 1, 2024 until July 1, 2025;
• $8.00 per hour, effective July 1, 2025 until July 1, 2026;
• $10.00 per hour, effective July 1, 2026 until July 1, 2027; and
• $12.00 per hour, effective July 1, 2027 until July 1, 2028