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(Minneapolis Star Tribune)   Cafe faces heat for adding 'minimum wage fee'   (startribune.com) divider line 304
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11696 clicks; posted to Main » on 07 Aug 2014 at 11:24 AM (51 weeks ago)   |  Favorite    |   share:  Share on Twitter share via Email Share on Facebook   more»



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2014-08-07 08:22:42 AM  
Looks like they're taking a beating on their Yelp page, too...

http://www.yelp.com/biz/river-oasis-cafe-stillwater
 
2014-08-07 09:04:50 AM  
 I'm sure they'll be crying about how "unfair" people are being to them by the end of the day.

That said, business owners should realize by now that far, far more of us are closer to minimum wage than we are to their profits or money (evidenced by their ability to even own a business in the first place). And there's no better way to get someone to turn on you/your cause then charging them for it.  Had the place just raised prices on the food by a few cents, barely anyone would have noticed, if anyone even did. They chose to take the dick route, though, and all but yell "I'm charging you because I don't want to pay my employees the bare minimum under the law, which we all know they probably can't live on anyway". So people respond both because they're being dicks and because they're placing the onus of responsibility for employee wages directly to the customer in such an overt way.  Obviously, customers pay employee wages, but when it's that in your face, as opposed to "I paid for what I bought/the service I got", people who also work for a living bristle a bit. Go figure.

Oh, and it's also the owner advertising his specific politics on his sleeve, which is always polarizing no matter which side you come out on, though the direct effect is going to be much more substantial on a small business like this than say, Target. They will surely get blowback for coming out in favor of gay marriage, but it will never impact their bottom line the way it will a small cafe.
 
2014-08-07 09:08:40 AM  
This also seems like a kiss-off move to the employees.  "Hey, customers, the stupid government is making me pay my stupid-assed employees a mininmum wage!  I just wanted you to know how f'n retarded I think that is.  Come back soon!"
 
2014-08-07 09:10:34 AM  
Having to raise their wage is unfair.

Not having to for 10 years previously, that was fair.
 
2014-08-07 09:10:56 AM  
"Despite online boycott threats, business has actually increased so far this week, Orcutt said."

Points awarded for knowing your market.
 
2014-08-07 09:18:10 AM  
I'll never understand how business owners can do something so utterly stupid.
 
2014-08-07 09:21:57 AM  
I've been on the Internet too long. I first read that headline as "Cat faces heat"
 
vpb [TotalFark]
2014-08-07 09:22:04 AM  
It's likely to backfire.  Not only does it make the owners like like greedy assholes, it emphasizes how little the actual cost is.
 
2014-08-07 09:31:11 AM  

vpb: It's likely to backfire.  Not only does it make the owners like like greedy assholes, it emphasizes how little the actual cost is.


But annoys people nonetheless.  $.35 is nothing to me if I have the money to eat at a restaurant to begin with, and I would not notice if my check was $12.35 last week and was $12.70 this week because it's insignificant in the grand scheme of things. Much like I wouldn't notice if I spent $.35 more at the grocery store later because they raised some prices to pay the employees more. But put that $.35 on its own line, and you're (a) making your "problem" mine, overtly and (b) making a problem out of a non-problem.
 
2014-08-07 09:50:12 AM  
lookatmeimanattentionwhore.jpg
 
ZAZ [TotalFark]
2014-08-07 10:04:45 AM  
Shouldn't the minimum wage fee be above the tax line? It's not a specific government fee, but rather part of the cost of doing business.
 
2014-08-07 11:00:10 AM  

ZAZ: Shouldn't the minimum wage fee be above the tax line? It's not a specific government fee, but rather part of the cost of doing business.


Was just about to say this. I'm sure they'll be hearing from the IRS.
 
2014-08-07 11:07:26 AM  
Dumbasses could have quietly added $0.10 to every item on the menu with no outcry, and come out financially ahead.
 
2014-08-07 11:07:51 AM  

tnpir: lookatmeimanattentionwhore.jpg


And that's pretty much it. If he were to raise drink price by a quarter, no one would've known/cared and he would've probably come out ahead. The problem is, he'd rather have attention to this "injustice" and still not be even a Minnesota resident.
 
2014-08-07 11:12:31 AM  

Demetrius: Looks like they're taking a beating on their Yelp page, too...

http://www.yelp.com/biz/river-oasis-cafe-stillwater



Some of those reviews are even from Minnesota.
 
2014-08-07 11:28:18 AM  
Poor whiny butthurt Job Creators.

Pay your people what they're worth. Oh, wait, never mind, people are worth more than the minimum wage anyway.
 
2014-08-07 11:28:35 AM  

BunkoSquad: I've been on the Internet too long. I first read that headline as "Cat faces heat"


i415.photobucket.com
 
2014-08-07 11:30:40 AM  
Almost as bad as a "Gratuity" line.
 
2014-08-07 11:31:40 AM  
I'm against minimum wage laws, but this is petty and stupid. They don't itemize their other costs, nor should they.
 
2014-08-07 11:31:56 AM  

Demetrius: Looks like they're taking a beating on their Yelp page, too...

http://www.yelp.com/biz/river-oasis-cafe-stillwater


That's a shame.
 
2014-08-07 11:32:32 AM  

BunkoSquad: I've been on the Internet too long. I first read that headline as "Cat faces heat"


Don't feel bad, I did too.
 
2014-08-07 11:32:54 AM  
Why is this so familiar?

The "president" of the local San Antonio Tea Party crazies has a bunch of restaurants and contracts at federal facilities, Air Force bases, etc. The company employs 450 - 600 people. Same rabid "I'll go out of business if I have to follow this rule or that, or if I have to provide my food employees health insurance."
Like enter hunger, leave with your stomach full and your immune system about to go nuts.

Bonus, this guy took the job away from the famed Only-Hispanic-to-head-a-Tea-Party-Group. Why eat where the employees are sure to be disgrunted?
 
2014-08-07 11:33:35 AM  
So the servers only wait on one table an hour?
 
2014-08-07 11:33:56 AM  

Yogimus: Almost as bad as a "Gratuity" line.


If the price of the meals/items include gratuity then it shouldn't be itemized. If gratuity is added to the prices afterward, then it should. Otherwise how would you reconcile the items on the receipt?
 
2014-08-07 11:33:59 AM  

serpent_sky: I'm sure they'll be crying about how "unfair" people are being to them by the end of the day.

That said, business owners should realize by now that far, far more of us are closer to minimum wage than we are to their profits or money (evidenced by their ability to even own a business in the first place). And there's no better way to get someone to turn on you/your cause then charging them for it.  Had the place just raised prices on the food by a few cents, barely anyone would have noticed, if anyone even did. They chose to take the dick route, though, and all but yell "I'm charging you because I don't want to pay my employees the bare minimum under the law, which we all know they probably can't live on anyway". So people respond both because they're being dicks and because they're placing the onus of responsibility for employee wages directly to the customer in such an overt way.  Obviously, customers pay employee wages, but when it's that in your face, as opposed to "I paid for what I bought/the service I got", people who also work for a living bristle a bit. Go figure.

Oh, and it's also the owner advertising his specific politics on his sleeve, which is always polarizing no matter which side you come out on, though the direct effect is going to be much more substantial on a small business like this than say, Target. They will surely get blowback for coming out in favor of gay marriage, but it will never impact their bottom line the way it will a small cafe.


Yup. If you decide to make a big deal about something, sometimes it will become a big deal.
 
2014-08-07 11:34:01 AM  
http://www.startribune.com/local/270082251.html

Another restaurant company in the Twin Cities is taking tip money from servers (if the tip is on a credit card) to offset some of the cost.  This is a company that just expanded, too.
 
2014-08-07 11:34:59 AM  
It would have been easier to just raise prices a very small bit; pennies really. Most people would have never noticed.
But that's this guys point, he wants people to notice. In the end it will end up costing him more for being an attention whore.
 
2014-08-07 11:35:15 AM  

Snarfangel: Demetrius: Looks like they're taking a beating on their Yelp page, too...

http://www.yelp.com/biz/river-oasis-cafe-stillwater


Some of those reviews are even from Minnesota.


I like this one:

BUT this is why I'm only giving them 3 stars.
An order was up on the counter. As a waitress was picking it up to serve to some customers, the owner tried to be sneaky and grabbed a french fry or two off one of the plates and ate it.  I couldn't believe what I saw!
I don't know about the rest of you, but that's not cool.
 
2014-08-07 11:35:45 AM  
It talks about him having to pay $8/hr instead of $7.25/hr to tipped workers.  I thought tipped workers were generally exempt from the federal minimum wage (at that rate, at least).
 
2014-08-07 11:36:08 AM  

BunkoSquad: I've been on the Internet too long. I first read that headline as "Cat faces heat"


So have I. I misread your line as "Cat feces heat."
 
2014-08-07 11:36:22 AM  

serpent_sky: Oh, and it's also the owner advertising his specific politics on his sleeve, which is always polarizing no matter which side you come out on, though the direct effect is going to be much more substantial on a small business like this than say, Target. They will surely get blowback for coming out in favor of gay marriage, but it will never impact their bottom line the way it will a small cafe.


This bears repeating. I go to a restaurant to enjoy a meal, not be regaled with your politics - even if our beliefs match.

Something else that needs to be mentioned is

"...the first time Minnesota's minimum wage has increased in a decade. "

So you [general] businesses have enjoyed stagnant wages for a decade. Bet you haven't held prices stagnant in that time. Cry me a farking river.
 
2014-08-07 11:36:42 AM  
I don't think businesses should be allowed to add non-mandated "surcharges" to prices/bills, excepting restaurants for the mandatory-gratuity charge (which isn't going away, but I don't want to turn this into a tip thread).

If you have to increase your prices to cover your expenses, then increase your prices.

The airline industry started doing this too for fuel costs.  They all started adding a "Fuel surcharge", in some cases $7.50 per way.  So they all got to keep their prices the same, advertise the same prices, and show up on the travel sites at the same prices, even though out-of-pocket to the customer went up.  This went away for a little while when the law said such things had to be included in the price.  Now I here that's being backed out too.
 
2014-08-07 11:36:57 AM  

Harvey Manfrenjensenjen: I'm against minimum wage laws, but this is petty and stupid. They don't itemize their other costs, nor should they.


Stove Fee if you get a hot meal:
Refrigeration Fee if you get something that required refrigeration:
Owner's Vacation Fee because that airline ticket and hotel aren't going to pay for themselves.
 
2014-08-07 11:37:39 AM  
FTFA:   Wade Luneburg of the MN State Council ... "Putting [minimum wage] fees on tickets and passing the cost on to consumers directly is strange at best,

Who the hell does he think is going to pay for the increase besides customers?  That's the same retarded mentality that demands increased taxes on businesses.
 
2014-08-07 11:38:28 AM  

DRFS Rich: It talks about him having to pay $8/hr instead of $7.25/hr to tipped workers.  I thought tipped workers were generally exempt from the federal minimum wage (at that rate, at least).


I don't know Minnesota's minimum wage laws as they pertain to tipped workers, but if the state's minimum wage is higher than the federal minimum wage, the workers get paid at the state level.
 
2014-08-07 11:39:20 AM  
Imagine how much he could save if we brought back slavery and indentured servitude!

(White) People in the Cotton Belt lived better than pretty much anywhere else in the world until those damned uppity Northerns FORCED them to pay labor costs above minimum room and board.
 
2014-08-07 11:39:28 AM  

Snarfangel: Demetrius: Looks like they're taking a beating on their Yelp page, too...

http://www.yelp.com/biz/river-oasis-cafe-stillwater


Some of those reviews are even from Minnesota.


More like half, but is there a point you were making?
 
2014-08-07 11:40:30 AM  

King Something: BunkoSquad: I've been on the Internet too long. I first read that headline as "Cat faces heat"

So have I. I misread your line as "Cat feces heat."



Goodness gracious, furballs of fire!
 
ZAZ [TotalFark]
2014-08-07 11:41:25 AM  
Candy For Breakfast

The business is passing along credit card tips based on net receipts after deducting credit card processing fees. Where I live the law says all tips have to be given to tipped employees. It can't be shared with management and the company can't take a cut. But the law is silent about whether the tip amount to be shared is before or after deducting credit card processing fees. Somebody else is taking a cut. The business never saw that 2%. Lawyers here would love to take that issue to court because they could generate a lot of billable hours settling a trivial question.

I always tip cash. They can report it or not at their discretion.
 
2014-08-07 11:41:46 AM  

factoryconnection: This also seems like a kiss-off move to the employees.  "Hey, customers, the stupid government is making me pay my stupid-assed employees a mininmum wage!  I just wanted you to know how f'n retarded I think that is.  Come back soon!"


Well....when you put it that way.....
 
2014-08-07 11:42:33 AM  
i see this strategy a lot.  business owner notices that a fixed cost is going to increase insignificantly.  so, he uses this as an excuse to hike prices and make out like a bandit.

/ used to be a tobacconist.  whenever there was a tax hike, all the stores would increase prices by double the increase from the taxes and blame the government.
 
2014-08-07 11:42:56 AM  
Yay, the town I grew up in made Fark.  These people are clearly idiots, they willfully admit that they pay their dishwashers $10 an hour, and their cooks $12/hr.  If I were a server there I'd no call no show.  Fark em.
 
ZAZ [TotalFark]
2014-08-07 11:44:48 AM  
Minimum wage in Minnesota was not frozen for a decade. The state minimum wage was stuck at $6.15, but the federal minimum wage was not. The higher of the two wages applies.

If I were an evil zillionaire businessman I would lobby Congress to fully preempt state minimum wage laws, i.e. say states can not make a minimum wage higher than Congress likes. That would cut my lobbying needs down to a single legislative body.
 
2014-08-07 11:47:08 AM  

Carousel Beast: serpent_sky: Oh, and it's also the owner advertising his specific politics on his sleeve, which is always polarizing no matter which side you come out on, though the direct effect is going to be much more substantial on a small business like this than say, Target. They will surely get blowback for coming out in favor of gay marriage, but it will never impact their bottom line the way it will a small cafe.

This bears repeating. I go to a restaurant to enjoy a meal, not be regaled with your politics - even if our beliefs match.

Something else that needs to be mentioned is

"...the first time Minnesota's minimum wage has increased in a decade. "

So you [general] businesses have enjoyed stagnant wages for a decade. Bet you haven't held prices stagnant in that time. Cry me a farking river.


it has to do with them being greedy bastards, like this guy:
http://www.startribune.com/local/270082251.html
 
2014-08-07 11:47:45 AM  

Candy For Breakfast: http://www.startribune.com/local/270082251.html

Another restaurant company in the Twin Cities is taking tip money from servers (if the tip is on a credit card) to offset some of the cost.  This is a company that just expanded, too.


Is that even farking legal?
 
2014-08-07 11:47:52 AM  

jylcat: ZAZ: Shouldn't the minimum wage fee be above the tax line? It's not a specific government fee, but rather part of the cost of doing business.

Was just about to say this. I'm sure they'll be hearing from the IRS.


No, and no they won't be hearing from the IRS.

The Tax line is based on sales - the price of a good being transferred from one to another.  The fee is for service.  That is not taxed.

As for the IRS, the tax line is not money that goes to the IRS.  It is collected by state and local revenue departments.

It will have to be included on Income Tax filings to the IRS, as overall income.  But the employees wages are already deductible as a cost of doing business which will more than offset it.

Finally, this may differ in some states, but in the ones I have personal experience, no business is required to collect sales tax as a separate line item on a bill.  They can list the price as $10.00 and add on $0.70 tax, or they can charge you $10.70, or they can charge you $10 and eat the tax.  They are just required to PAY the tax to the appropriate agency.

That's why all of those furniture companies can advertise "120 days same-as-cash and you pay NO SALES TAX".  They still do.
 
2014-08-07 11:48:23 AM  
Right, because clearly the better approach would have been to raise prices without customers knowing about it. I mean, that's just good business practice.
 
2014-08-07 11:50:44 AM  

DRFS Rich: It talks about him having to pay $8/hr instead of $7.25/hr to tipped workers.  I thought tipped workers were generally exempt from the federal minimum wage (at that rate, at least).


It's a federal minimum....States can have a higher minimum (CA waiters/waitresses make $9 or $10/hr plus tips).  Some states have a deal wherein the restaurant pays the "wait staff" minimum (used to be 3 or 4 bucks an hour, not sure what it is now), plus tips and if the total at the end of a shift doesn't add up to the regular per hour minimum, then the restaurant has to kick in the remainder.
 
2014-08-07 11:50:58 AM  

GDubDub: I don't think businesses should be allowed to add non-mandated "surcharges" to prices/bills, excepting restaurants for the mandatory-gratuity charge (which isn't going away, but I don't want to turn this into a tip thread).

If you have to increase your prices to cover your expenses, then increase your prices.

The airline industry started doing this too for fuel costs.  They all started adding a "Fuel surcharge", in some cases $7.50 per way.  So they all got to keep their prices the same, advertise the same prices, and show up on the travel sites at the same prices, even though out-of-pocket to the customer went up.  This went away for a little while when the law said such things had to be included in the price.  Now I here that's being backed out too.


Not only airlines.  When my FIL still drove a cement truck they had fuel surcharges too to the bill.

It makes a lot of sense in deliveries as it costs just as much to deliver 1 yard of cement as it does a full load.  It was to make their customers better plan their deliveries.


In this case I can understand as well as labor is a fixed cost no matter what the table orders.  If they order a side of fries to split and stay as long as a table that orders meals their labor costs are the same so a labor surcharge makes sense.
 
2014-08-07 11:50:59 AM  
img.fark.net
 
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