» Politics and other things

How NOT to run a small business

(29 posts)
  • Started 5 years ago by Vitalogy
  • Latest reply from missing_kskd

  1. Vitalogy

    Cafe charges customers 35 cent "minimum wage fee"

    A Minnesota restaurant is passing along the cost of the state's minimum wage hike to customers, and the move has sparked outrage.

    Diners at the Oasis Cafe in Stillwater, Minn., recently noticed a "MIN WAGE FEE" tacked on to the bottom of their receipts, beneath more mundane items like burgers and fries.

    A increase hiking the minimum wage as high as $8 and hour. The restaurant's fee appears to be a response to the increase, but the owners did not respond to multiple requests for comment.

    At least one diner, Jean Murra, noticed the fee on her check on August 1.

    "I was shocked," Murra wrote in an email. She said that she wouldn't mind if the restaurant raised prices a bit, but felt that the owners put the fee on the receipt "to make a political statement."

    "We will not go back there," she wrote. Hundreds of other commenters on the restaurant's Facebook and Yelp pages in the past few days felt similarly. Most of the comments are negative -- even unprintable -- and assume that the owners added the fee as a protest against the law.

    "We are coming to Minnesota next week and this was going to be a stop. No More," one Facebook user wrote on the page.

    Posted on August 7, 2014 - 11:17 AM #
  2. Andrew

    I guess if their business suffers because of fewer patrons, they'll remove the charge (or the notice on the receipt).

    If business increases due to people who oppose the minimum wage - or if it stays the same - what would be their incentive to get rid of the line on their receipt?

    It will take care of itself.

    Posted on August 7, 2014 - 12:15 PM #
  3. Vitalogy

    It's clearly a political statement by a right wing business owner.

    I've always said, if you want to run a successful business, keep politics out of it. Otherwise you piss off 50% of your customer base.

    An easier way for him to have handled the situation would be to raise all of his prices by 5 cents. That would cover the small increase in the cost of doing business without all the bad press and I guarantee you customers wouldn't even notice.

    And, what about his employees? If I worked there, I'm not sure how valued I'd feel.

    Posted on August 7, 2014 - 12:34 PM #
  4. jerry1949

    Thanks to minimum wage laws there is sky high unemployment among inner city youths, who desperately need work experience and earned money and the self esteem that goes with earning vs from stealing or charity, besides the services and products that would come into the marketplace and benefit us all.

    I don't understand why so many think it is better to have idle youths and a minimum wage that shuts them out.

    It probably is not a good idea for the restaurant to play politics with this, however. Most people don't understand how price controls unfairly suppress or stimulate business, and don't look at the long term negative effect, just that "people are getting more."

    Posted on August 7, 2014 - 12:40 PM #
  5. big89

    Back in 1968, the minimum wage in the United States was $1.60 an hour. That sounds very small, but after you account for inflation a very different picture emerges. Using the inflation calculator that the Bureau of Labor Statistics provides, $1.60 in 1968 is equivalent to $10.74 today.So today's minimum wage is actually lower than it was in 1968. Some need to wake up to the fact that workers in this country are once again being exploited by their employers. You will probably see an increase in unions once again in this country because of this.

    Posted on August 7, 2014 - 02:12 PM #
  6. Vitalogy

    Minimum wage laws have nothing to do with youth unemployment. Rather, it has more to do with the fact that there are adults who are harder and better workers willing to do those jobs. Who would you rather hire, a 35 year old woman with bills to pay or a slacker teenager?

    Posted on August 7, 2014 - 02:57 PM #
  7. Brianl

    The way I look at it, both Vitalogy and Andy are right.

    The economy is improving. There are more jobs. There is no denying that. We are worlds better off than we were six years ago.

    That said, wages are also down, as Andy alluded to. And the culprit of that is the fact that the vast majority of new jobs created are service-sector, which pays considerably less.

    Our manufacturing has been sold down the farm, to many, many third world countries. The CEOs and shareholders count their billions, selling it as "savings to the consumer". The labor force and consumers lose, because of less wages and not as good of quality, in many cases.

    As someone who has been in the restaurant business for most of my life, and in states that have not only a higher minimum wage than MN, but a minimum wage that adjusts for COLA on an annual basis, I find this restaurant's actions unacceptable and reprehensible.

    And as to what F&B said regarding our youth and entry-level jobs, many, many places are hiring displaced blue-collar workers for those jobs. It is harder and harder for our kids today to find work.

    Posted on August 7, 2014 - 03:44 PM #
  8. Vitalogy

    Well, F&B doesn't know what he's talking about. Higher earnings for the lowest of earners is a plus for the economy. They will spend 100% of the extra money thereby boosting the economy. I don't care if my meal at the local diner costs an extra $.35. But, if I saw that surcharge on the receipt, I'd be pissed beyond belief.

    A minimum wage is needed to keep greedy business owners from taking advantage of slave labor. And there's no proof higher minimum wage hurts the local economy. For proof look at the Seattle and Portland economies which have some of the highest minimum wage laws in place.

    Posted on August 7, 2014 - 07:16 PM #
  9. jerry1949

    If the average adult is producing 10 units per hour and is being paid $10.00 per hour, why not pay the slacker teenager $4.00 per hour who only can produce 4 units per hour? Keeps him off the street. Puts less strain on his family and government services. Puts money in his pocket. Gives him a stepping stone to learning about work and being more productive so he can earn more. Gives the business owner the same result for his money.

    But it's illegal to pay him $4.00 per hour so it's better he's on the street getting into trouble?

    Posted on August 7, 2014 - 07:38 PM #
  10. Amus

    "But it's illegal to pay him $4.00 per hour so it's better he's on the street getting into trouble"

    That's where George Zimmerman, Theodore Wafer & the NRA come in.

    Posted on August 7, 2014 - 07:40 PM #