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Former restaurant owner shares perspective on minimum wage

Posted

To the editor:

In response to the recent article about minimum wage (“Missouri’s minimum wage falls short for workers amid rising living costs,” published on Page B2 of the Dec. 13 edition of the Quill): 

When I went into the restaurant business in 2004, minimum wage was $5.50/hour. The only people to whom we paid minimum wage were entry-level, less skilled workers such as dishwashers. If they showed up and did their job, we gave them a raise within a few months. If they wanted to make more money, they could learn to do prep work or cook. If they wanted to make even more money, they could become a server or bartender, who with tips, typically made much more than the cooks.

In 2004, we paid our cooks, from $9-12/hour. The executive chef made more. However, as minimum wage went up, the gap between our lowest and highest paid employees narrowed. Profit margins in the restaurant business are slim to none, so we couldn't just raise everyone's wages at the same time. 

By the time I got out of the business, in 2021, minimum wage had more than doubled. Our cooks made only slightly more than the dishwasher — if we even had someone to wash dishes. Many times, the cooks had to do the dishes themselves. Or, me or my husband. As wages went up, we had to operate with a smaller staff. 

A higher minimum wage takes wages from longer-term, more skilled workers. It has put many restaurants out of business. 

It's extremely difficult to find good employees these days. The law of supply and demand works for staff as much as in sales. To hire — and keep — good employees, a business must pay competitive wages. But if we must pay a 16-year old $12.30/hour to wash dishes, we cannot pay our other staff what they deserve. Eventually, they will leave for better paying jobs. 

Meanwhile, businesses must raise prices to attempt to make a profit. Inflation climbs higher and higher. The cost of living goes up, and once again, people can't make ends meet. It's a vicious cycle. 

Our legislators need to let the law of supply and demand work. People who are willing to work will move up; if they don't, they need to change jobs. Those who are not reliable or have no motivation may stay at minimum wage. Those who simply don't have the ability to work, or to do more skilled work, should be eligible for government assistance. 

I most certainly want everyone to make a living wage. If I could've, I would have loved for all of my employees to make much more than just a living wage. I am happy that many of them used the restaurant as a stepping stone to higher paying jobs. 

Minimum wage is not intended to be a living wage; it's exactly what it says — a minimum. A starting point.

If we must have a minimum wage, it should be established by local municipalities, not by the federal or even state governments. An employee in a large city needs a much higher income than one in rural America. 

That's my two-cents' worth — which sure isn't worth much these days. 

Toni Chritton Johnson,
West Plains



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