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Media HitsThe Employment Policies Institute received over 1,000 media hits this year for its expert analysis and involvement on wage and labor issues. EPI studies, statements, and background reached over 2.6 billion readers and was featured in prestigious outlets including The Wall Street Journal, The Washington Post, Restaurant Business, and CalMatters.Leading the Fight to Protect State and Local Tip CreditsThis year the Employment Policies Institute provided in-person testimony and coordinated employee perspectives for lawmakers on the harms of minimum wage and anti-tip credit proposals. EPI executive director Michael Saltsman and research director Rebekah Paxton provided testimony before the Maryland Senate Finance Committee, Rhode Island House Labor Committee, and the Chicago City Council. EPI also joined tipped employees for a day of Pennsylvania legislature visits to communicate the negative impacts of proposals to eliminate the state’s tip credit.Tipped Workers Want Maryland to Save Their TipsPennsylvania tipped employees meet at the state houseEmployment Policies Institute1655 Fort Myer Drive, Suite 600 | Arlington, Virginia 22209Tel: 202.463.7650 | EPIOnline.orgEPI is the go-to resource on Capitol Hill for credible research on the harmful impact of wage mandates. I’ve seen rsthand the impact of its work on shaping the debate—and the vote—on legislation that would hurt the hospitality industry.Jonathan Slemrod Partner, Harbinger StrategiesRebekah Paxton testifying in Rhode Island’s House Labor CommitteeYear in Review2023
StudiesThis year, the Employment Policies Institute research team partnered with nationally-recognized economists and experts to provide timely analysis to wage and hour issues across the country. Our studies have been referenced in federal, state, and local debates regarding unprecedented policies facing businesses and employees. This work has been featured in major news publications including The Wall Street Journal, The Washington Post, The Hill, and Restaurant Business, as well as local FOX, CBS, ABC, and PBS aliates.Letter from Our Executive DirectorTo our supporters, The Employment Policies Institute was founded 35 years ago on the premise that an aggressive think tank was needed to debunk manipulative studies from wage activists. Through its work, EPI has exposed the unintended consequences of bad policies, and highlighted the voices of workers who would be negatively impacted by them. EPI’s eective combination of credible research, aggressive communications, and grassroots organizing is unique: No one else does what we do. Today, hospitality industry jobs are under greater threat than ever. The demand for a $15 minimum wage has now escalated as high as $25 in some markets. Meanwhile, labor activists have pledged $25 million to eliminate the tipped wage in 25 states in the next several years.In this hostile environment, your support for the Employment Policies Institute is more essential than ever.This year, our credible research and grassroots organizing work helped defeat or derail harmful wage proposals at the state and local level. Our perspective was cited in over a thousand news articles and television outlets, reaching some 2.6 billion viewers. And our team was on the ground on a moment’s notice to oer testimony and expertise. There are already new challenges on deck for 2024 in state legislatures and at the ballot box. You can continue to count on EPI to provide the research and data that empowers the hospitality industry to oppose these mandates. We are deeply grateful for your support. With gratitude,Michael Saltsman, Executive DirectorThe work of EPI proved critical in refuting the misinformation being spread by an activist organization. As a relatively small organization with limited sta resources, EPI’s expertise was invaluable to our winning tip credit campaign.Marshall Weston President & CEO, Restaurant Association of MarylandEPI’s research helped us discredit a mountain of misinformation about franchised restaurants. EPI’s team dug up data that no one else had publicized, and was relentless in promoting it.Matt Haller CEO, International Franchise AssociationThe MRLA has been engaged in a decade-long campaign to educate elected ocials on the value of retaining a tip credit. EPI research has been at the core of that message and our success to date is, in many ways, attributable to their expertise and counsel.Justin Winslow President, Michigan Restaurant and Lodging AssociationA $15 Minimum Wage in Pennsylvania Would Cost Nearly 86,000 Jobs, June 2023A survey of American economists nds 83 percent opposed the FAST Recovery Act bill in California, with most agreeing it would negatively impact fast-food restaurant industry growth and cause price ination. Eighty-seven percent of respondents indicated similar laws adopted in other states or nationwide would have a negative impact on the total number of jobs in the fast-food industry. Lawmakers in Harrisburg are proposing drastic changes to the state minimum wage. One such proposal, HB 1500, would raise the regular minimum wage up to $15.00 per hour, while also raising the tipped minimum wage to $9.00 per hour, a more-than 200 percent increase. A large majority of economic research and American labor economists agree this proposal would have signicant negative consequences for employment, particularly for tipped restaurant employees. Using methodology developed by the nonpartisan Congressional Budget Oce, a $15 minimum wage and tipped wage increase is estimated to have the following negative impacts on employment:• Pennsylvania can expect to lose over 85,779 jobs.Sixty-four percent of job losses will be amongwomen, and 70% will be lost among 16-24 year olds.• The restaurant and bar industry will accountfor roughly half of all job losses.• Tipped employees will account for 31,923 of alljobs lost. This means by 2026, roughly 1 in 4tipped employees in Pennsylvania will lose their jobs.THE IMPACT STATEWIDE:• A 107% Minimum Wage Increaseand 218% Tipped Wage Increase• 85,779 Jobs Lost• 13% of Total Restaurant IndustryJobs Lost• 24% of Total Tipped Jobs LostEconomic analysis by:Dr. William Even, Professor Emeritus, Farmer School of Business, Miami University Dr. David Macpherson, E.M. Stevens Professor of Economics, Trinity UniversityA $15 Minimum Wage in Pennsylvania Would Cost Nearly 86,000 JobsONE IN FOUR TIPPED WORKERS COULD LOSE THEIR JOBS-49,653 total-11,297-8,429-6,005HospitalityEducation and Health CareRetailOther ServicesRestaurants and Bars (-41,644)-50,000 -40,000 -30,000 -20,000 0Job Loss by Demographic Job Loss in Top 5 Industries-20,000-40,000-60,000-59,674-13,006-8,594-4,505-30,938-54,841-53,856-31,92316-24 25-44 45-64 65+ Male FemaleNon-Tipped TippedAgeJUNE 2023View a full methodology at EPIOnline.org.Senator Bernie Sanders has proposed raising the federal minimum wage to $17 per hour, despite failing to receive support from members of his own party in 2021 for a nationwide $15 minimum wage bill. A large majority of economic research and American labor economists agree this proposal would have signicant negative consequences for minimum wage employment. Using methodology developed by the nonpartisan Congressional Budget Oce, a $17 federal minimum wage is estimated to have the following negative impacts on employment:• The nation can expect to lose over 1.2 million jobs. Sixty-two percent of job losses will be among women, and 63% percent will be lost among16-24 year olds.• The restaurant and bar industry will account for 40% of total job losses, and a quarter of these will be jobs held by tipped workers.• Adding federal tip credit elimination to a $17 minimum wage, raising the current tipped minimum wage by 700%, would kill an additional 447,000 jobs, bringing total job loss to 1.65 million jobs.THE IMPACT NATIONWIDE:• A 134% increase to the federal minimum wage• 1.2 million jobs lost• 5.4% of total restaurant industry jobs lost• 8.8% of total tipped jobs lostEconomic analysis by:Dr. William Even, Professor Emeritus, Farmer School of Business, Miami University Dr. David Macpherson, E.M. Stevens Professor of Economics, Trinity UniversityThe Job Loss Impact of a $17 Minimum WageAS MANY AS 1.2 MILLION JOBS LOST-990,616 total-204,136-170,558-73,559HospitalityRetail TradeEducational and Health CareOther ServicesRestaurants and Bars ( -903,216)-1,000,000 -750,000 -500,000 -250,000 0$17 Minimum Wage Job Loss by Demographic Job Loss in Top 5 Industries-500,000-1,000,000-1,500,000-1,037,078-368,005-190,513-59,704-589,134-1,066,166-910,583-744,71716-24 25-44 45-64 65+ Male FemaleNon-Tipped TippedAgeEXECUTIVE SUMMARYFood safety is a critical part of restaurant jobs, not just for the customer, but for employees as well. While local and state requirements for training employees who handle food vary, there are also various programs designed to equip food service employees on proper safety, hygiene, and other techniques while handling, preparing, serving, and storing food in restaurants.One widely used training course is called the ServSafe Food Handlers (SFH) program, developed by the National Restaurant Association (NRA). In early 2023, advocacy nonprot One Fair Wage announced it would launch its own food safety course called the Just.Safe.Food “Food and Worker Safety Training” (FWST). One Fair Wage claimed its new program would be a cheaper, better substitute for food safety training than ServSafe. To assess these claims and the comprehensiveness of the training as a viable alternative, the Employment Policies Institute (EPI) retained Beth Torin, whose career in food safety includes fourteen years as the Executive Director of New York City’s Department of Health Oce of Food Safety. Ms. Torin independently evaluated Sections 1-8 of Module 1 of a draft of the Just.Safe.Food training, which were obtained through JustSafeFood.com.1 1 Accessed January 24th, 2023 at the following URLs: JustSafeFood.com/food-safety-pt1-mp4; JustSafeFood.com/food-safety-pt2-mp4; JustSafeFood.com/food-safety-pt3-mp4; JustSafeFood.com/food-safety-pt4-mp4; JustSafeFood.com/food-safety-pt5-mp4; JustSafeFood.com/food-safety-pt6-mp4; JustSafeFood.com/food-safety-pt7-mp4; JustSafeFood.com/food-safety-pt8-mp4; Additional sections not reviewed include “what to do in case of a workplace emergency,” “workers’ rights and legal assistance,” and “how to identify and document cases of workers’ rights violations” https://justsafefood.com/A Preliminary Review of the Just.Safe.Food Training ProgramAnalysis by Beth TorinMs. Torin is the Former Executive Director of the New York City De partment of Health Oce of Food SafetyNovember 2023The Job Loss Impact of a $17 Minimum Wage, July 2023Economists William Even and David Macpherson, of Miami and Trinity Universities respectively, found Sen. Bernie Sanders’ bill to create a federal $17 minimum and $17 tipped wage would cost up to 1.2 million jobs nationwide, with largest job losses in Texas, Pennsylvania, North Carolina, Georgia, and Indiana. Even and Macpherson estimate a quarter of all jobs losses would be for tipped employees.A Preliminary Review of the Just.Safe.Food Training Program, November 2023Former New York City Department of Health Oce of Food Safety director Beth Torin reviewed a draft version of labor activist One Fair Wage’s food handler training course. Torin found the early version had “inaccurate” and “misleading” information that would not properly train restaurant employees in the industry standard for food safety.Not So FAST, Updated April 2023This report built upon a previous 2022 analysis, but responded to the newly-introduced Fast Food Franchisor Responsibility Act, which claimed individual franchise owners of fast food restaurants were disproportionately responsible for wage claims in California. To the contrary, this new analysis found franchisee-owned fast food restaurants were responsible for just 0.65 percent of all wage claims led in the state, which is less than half the estimated share of California employment held by franchisee-owned fast food restaurants. The Impact of Initiative 82: A Survey of Restaurants in the District of Columbia, April 2023EPI surveyed over 100 local restaurants to learn how tip credit elimination would impact their operations. Responses showed 85 percent of restaurants believed they would be forced to reduce the number of tipped employees in their locations by the time the tip credit is eliminated in 2027, 80 percent would be forced to raise prices, and 70 percent would be forced to introduce service fees to adapt to the increases.Not So FAST:Compiled from California Department of Industrial Relations dataAugust 2022Analyzing Labor Law Compliance at California Fast Food RestaurantsBILLION REACHED
StudiesThis year, the Employment Policies Institute research team partnered with nationally-recognized economists and experts to provide timely analysis to wage and hour issues across the country. Our studies have been referenced in federal, state, and local debates regarding unprecedented policies facing businesses and employees. This work has been featured in major news publications including The Wall Street Journal, The Washington Post, The Hill, and Restaurant Business, as well as local FOX, CBS, ABC, and PBS aliates.Letter from Our Executive DirectorTo our supporters, The Employment Policies Institute was founded 35 years ago on the premise that an aggressive think tank was needed to debunk manipulative studies from wage activists. Through its work, EPI has exposed the unintended consequences of bad policies, and highlighted the voices of workers who would be negatively impacted by them. EPI’s eective combination of credible research, aggressive communications, and grassroots organizing is unique: No one else does what we do. Today, hospitality industry jobs are under greater threat than ever. The demand for a $15 minimum wage has now escalated as high as $25 in some markets. Meanwhile, labor activists have pledged $25 million to eliminate the tipped wage in 25 states in the next several years.In this hostile environment, your support for the Employment Policies Institute is more essential than ever.This year, our credible research and grassroots organizing work helped defeat or derail harmful wage proposals at the state and local level. Our perspective was cited in over a thousand news articles and television outlets, reaching some 2.6 billion viewers. And our team was on the ground on a moment’s notice to oer testimony and expertise. There are already new challenges on deck for 2024 in state legislatures and at the ballot box. You can continue to count on EPI to provide the research and data that empowers the hospitality industry to oppose these mandates. We are deeply grateful for your support. With gratitude,Michael Saltsman, Executive DirectorThe work of EPI proved critical in refuting the misinformation being spread by an activist organization. As a relatively small organization with limited sta resources, EPI’s expertise was invaluable to our winning tip credit campaign.Marshall Weston President & CEO, Restaurant Association of MarylandEPI’s research helped us discredit a mountain of misinformation about franchised restaurants. EPI’s team dug up data that no one else had publicized, and was relentless in promoting it.Matt Haller CEO, International Franchise AssociationThe MRLA has been engaged in a decade-long campaign to educate elected ocials on the value of retaining a tip credit. EPI research has been at the core of that message and our success to date is, in many ways, attributable to their expertise and counsel.Justin Winslow President, Michigan Restaurant and Lodging AssociationA $15 Minimum Wage in Pennsylvania Would Cost Nearly 86,000 Jobs, June 2023A survey of American economists nds 83 percent opposed the FAST Recovery Act bill in California, with most agreeing it would negatively impact fast-food restaurant industry growth and cause price ination. Eighty-seven percent of respondents indicated similar laws adopted in other states or nationwide would have a negative impact on the total number of jobs in the fast-food industry. Lawmakers in Harrisburg are proposing drastic changes to the state minimum wage. One such proposal, HB 1500, would raise the regular minimum wage up to $15.00 per hour, while also raising the tipped minimum wage to $9.00 per hour, a more-than 200 percent increase. A large majority of economic research and American labor economists agree this proposal would have signicant negative consequences for employment, particularly for tipped restaurant employees. Using methodology developed by the nonpartisan Congressional Budget Oce, a $15 minimum wage and tipped wage increase is estimated to have the following negative impacts on employment:• Pennsylvania can expect to lose over 85,779 jobs.Sixty-four percent of job losses will be amongwomen, and 70% will be lost among 16-24 year olds.• The restaurant and bar industry will accountfor roughly half of all job losses.• Tipped employees will account for 31,923 of alljobs lost. This means by 2026, roughly 1 in 4tipped employees in Pennsylvania will lose their jobs.THE IMPACT STATEWIDE:• A 107% Minimum Wage Increaseand 218% Tipped Wage Increase• 85,779 Jobs Lost• 13% of Total Restaurant IndustryJobs Lost• 24% of Total Tipped Jobs LostEconomic analysis by:Dr. William Even, Professor Emeritus, Farmer School of Business, Miami University Dr. David Macpherson, E.M. Stevens Professor of Economics, Trinity UniversityA $15 Minimum Wage in Pennsylvania Would Cost Nearly 86,000 JobsONE IN FOUR TIPPED WORKERS COULD LOSE THEIR JOBS-49,653 total-11,297-8,429-6,005HospitalityEducation and Health CareRetailOther ServicesRestaurants and Bars (-41,644)-50,000 -40,000 -30,000 -20,000 0Job Loss by Demographic Job Loss in Top 5 Industries-20,000-40,000-60,000-59,674-13,006-8,594-4,505-30,938-54,841-53,856-31,92316-24 25-44 45-64 65+ Male FemaleNon-Tipped TippedAgeJUNE 2023View a full methodology at EPIOnline.org.Senator Bernie Sanders has proposed raising the federal minimum wage to $17 per hour, despite failing to receive support from members of his own party in 2021 for a nationwide $15 minimum wage bill. A large majority of economic research and American labor economists agree this proposal would have signicant negative consequences for minimum wage employment. Using methodology developed by the nonpartisan Congressional Budget Oce, a $17 federal minimum wage is estimated to have the following negative impacts on employment:• The nation can expect to lose over 1.2 million jobs. Sixty-two percent of job losses will be among women, and 63% percent will be lost among16-24 year olds.• The restaurant and bar industry will account for 40% of total job losses, and a quarter of these will be jobs held by tipped workers.• Adding federal tip credit elimination to a $17 minimum wage, raising the current tipped minimum wage by 700%, would kill an additional 447,000 jobs, bringing total job loss to 1.65 million jobs.THE IMPACT NATIONWIDE:• A 134% increase to the federal minimum wage• 1.2 million jobs lost• 5.4% of total restaurant industry jobs lost• 8.8% of total tipped jobs lostEconomic analysis by:Dr. William Even, Professor Emeritus, Farmer School of Business, Miami University Dr. David Macpherson, E.M. Stevens Professor of Economics, Trinity UniversityThe Job Loss Impact of a $17 Minimum WageAS MANY AS 1.2 MILLION JOBS LOST-990,616 total-204,136-170,558-73,559HospitalityRetail TradeEducational and Health CareOther ServicesRestaurants and Bars ( -903,216)-1,000,000 -750,000 -500,000 -250,000 0$17 Minimum Wage Job Loss by Demographic Job Loss in Top 5 Industries-500,000-1,000,000-1,500,000-1,037,078-368,005-190,513-59,704-589,134-1,066,166-910,583-744,71716-24 25-44 45-64 65+ Male FemaleNon-Tipped TippedAgeEXECUTIVE SUMMARYFood safety is a critical part of restaurant jobs, not just for the customer, but for employees as well. While local and state requirements for training employees who handle food vary, there are also various programs designed to equip food service employees on proper safety, hygiene, and other techniques while handling, preparing, serving, and storing food in restaurants.One widely used training course is called the ServSafe Food Handlers (SFH) program, developed by the National Restaurant Association (NRA). In early 2023, advocacy nonprot One Fair Wage announced it would launch its own food safety course called the Just.Safe.Food “Food and Worker Safety Training” (FWST). One Fair Wage claimed its new program would be a cheaper, better substitute for food safety training than ServSafe. To assess these claims and the comprehensiveness of the training as a viable alternative, the Employment Policies Institute (EPI) retained Beth Torin, whose career in food safety includes fourteen years as the Executive Director of New York City’s Department of Health Oce of Food Safety. Ms. Torin independently evaluated Sections 1-8 of Module 1 of a draft of the Just.Safe.Food training, which were obtained through JustSafeFood.com.1 1 Accessed January 24th, 2023 at the following URLs: JustSafeFood.com/food-safety-pt1-mp4; JustSafeFood.com/food-safety-pt2-mp4; JustSafeFood.com/food-safety-pt3-mp4; JustSafeFood.com/food-safety-pt4-mp4; JustSafeFood.com/food-safety-pt5-mp4; JustSafeFood.com/food-safety-pt6-mp4; JustSafeFood.com/food-safety-pt7-mp4; JustSafeFood.com/food-safety-pt8-mp4; Additional sections not reviewed include “what to do in case of a workplace emergency,” “workers’ rights and legal assistance,” and “how to identify and document cases of workers’ rights violations” https://justsafefood.com/A Preliminary Review of the Just.Safe.Food Training ProgramAnalysis by Beth TorinMs. Torin is the Former Executive Director of the New York City De partment of Health Oce of Food SafetyNovember 2023The Job Loss Impact of a $17 Minimum Wage, July 2023Economists William Even and David Macpherson, of Miami and Trinity Universities respectively, found Sen. Bernie Sanders’ bill to create a federal $17 minimum and $17 tipped wage would cost up to 1.2 million jobs nationwide, with largest job losses in Texas, Pennsylvania, North Carolina, Georgia, and Indiana. Even and Macpherson estimate a quarter of all jobs losses would be for tipped employees.A Preliminary Review of the Just.Safe.Food Training Program, November 2023Former New York City Department of Health Oce of Food Safety director Beth Torin reviewed a draft version of labor activist One Fair Wage’s food handler training course. Torin found the early version had “inaccurate” and “misleading” information that would not properly train restaurant employees in the industry standard for food safety.Not So FAST, Updated April 2023This report built upon a previous 2022 analysis, but responded to the newly-introduced Fast Food Franchisor Responsibility Act, which claimed individual franchise owners of fast food restaurants were disproportionately responsible for wage claims in California. To the contrary, this new analysis found franchisee-owned fast food restaurants were responsible for just 0.65 percent of all wage claims led in the state, which is less than half the estimated share of California employment held by franchisee-owned fast food restaurants. The Impact of Initiative 82: A Survey of Restaurants in the District of Columbia, April 2023EPI surveyed over 100 local restaurants to learn how tip credit elimination would impact their operations. Responses showed 85 percent of restaurants believed they would be forced to reduce the number of tipped employees in their locations by the time the tip credit is eliminated in 2027, 80 percent would be forced to raise prices, and 70 percent would be forced to introduce service fees to adapt to the increases.Not So FAST:Compiled from California Department of Industrial Relations dataAugust 2022Analyzing Labor Law Compliance at California Fast Food RestaurantsBILLION REACHED
StudiesThis year, the Employment Policies Institute research team partnered with nationally-recognized economists and experts to provide timely analysis to wage and hour issues across the country. Our studies have been referenced in federal, state, and local debates regarding unprecedented policies facing businesses and employees. This work has been featured in major news publications including The Wall Street Journal, The Washington Post, The Hill, and Restaurant Business, as well as local FOX, CBS, ABC, and PBS aliates.Letter from Our Executive DirectorTo our supporters, The Employment Policies Institute was founded 35 years ago on the premise that an aggressive think tank was needed to debunk manipulative studies from wage activists. Through its work, EPI has exposed the unintended consequences of bad policies, and highlighted the voices of workers who would be negatively impacted by them. EPI’s eective combination of credible research, aggressive communications, and grassroots organizing is unique: No one else does what we do. Today, hospitality industry jobs are under greater threat than ever. The demand for a $15 minimum wage has now escalated as high as $25 in some markets. Meanwhile, labor activists have pledged $25 million to eliminate the tipped wage in 25 states in the next several years.In this hostile environment, your support for the Employment Policies Institute is more essential than ever.This year, our credible research and grassroots organizing work helped defeat or derail harmful wage proposals at the state and local level. Our perspective was cited in over a thousand news articles and television outlets, reaching some 2.6 billion viewers. And our team was on the ground on a moment’s notice to oer testimony and expertise. There are already new challenges on deck for 2024 in state legislatures and at the ballot box. You can continue to count on EPI to provide the research and data that empowers the hospitality industry to oppose these mandates. We are deeply grateful for your support. With gratitude,Michael Saltsman, Executive DirectorThe work of EPI proved critical in refuting the misinformation being spread by an activist organization. As a relatively small organization with limited sta resources, EPI’s expertise was invaluable to our winning tip credit campaign.Marshall Weston President & CEO, Restaurant Association of MarylandEPI’s research helped us discredit a mountain of misinformation about franchised restaurants. EPI’s team dug up data that no one else had publicized, and was relentless in promoting it.Matt Haller CEO, International Franchise AssociationThe MRLA has been engaged in a decade-long campaign to educate elected ocials on the value of retaining a tip credit. EPI research has been at the core of that message and our success to date is, in many ways, attributable to their expertise and counsel.Justin Winslow President, Michigan Restaurant and Lodging AssociationA $15 Minimum Wage in Pennsylvania Would Cost Nearly 86,000 Jobs, June 2023A survey of American economists nds 83 percent opposed the FAST Recovery Act bill in California, with most agreeing it would negatively impact fast-food restaurant industry growth and cause price ination. Eighty-seven percent of respondents indicated similar laws adopted in other states or nationwide would have a negative impact on the total number of jobs in the fast-food industry. Lawmakers in Harrisburg are proposing drastic changes to the state minimum wage. One such proposal, HB 1500, would raise the regular minimum wage up to $15.00 per hour, while also raising the tipped minimum wage to $9.00 per hour, a more-than 200 percent increase. A large majority of economic research and American labor economists agree this proposal would have signicant negative consequences for employment, particularly for tipped restaurant employees. Using methodology developed by the nonpartisan Congressional Budget Oce, a $15 minimum wage and tipped wage increase is estimated to have the following negative impacts on employment:• Pennsylvania can expect to lose over 85,779 jobs.Sixty-four percent of job losses will be amongwomen, and 70% will be lost among 16-24 year olds.• The restaurant and bar industry will accountfor roughly half of all job losses.• Tipped employees will account for 31,923 of alljobs lost. This means by 2026, roughly 1 in 4tipped employees in Pennsylvania will lose their jobs.THE IMPACT STATEWIDE:• A 107% Minimum Wage Increaseand 218% Tipped Wage Increase• 85,779 Jobs Lost• 13% of Total Restaurant IndustryJobs Lost• 24% of Total Tipped Jobs LostEconomic analysis by:Dr. William Even, Professor Emeritus, Farmer School of Business, Miami University Dr. David Macpherson, E.M. Stevens Professor of Economics, Trinity UniversityA $15 Minimum Wage in Pennsylvania Would Cost Nearly 86,000 JobsONE IN FOUR TIPPED WORKERS COULD LOSE THEIR JOBS-49,653 total-11,297-8,429-6,005HospitalityEducation and Health CareRetailOther ServicesRestaurants and Bars (-41,644)-50,000 -40,000 -30,000 -20,000 0Job Loss by Demographic Job Loss in Top 5 Industries-20,000-40,000-60,000-59,674-13,006-8,594-4,505-30,938-54,841-53,856-31,92316-24 25-44 45-64 65+ Male FemaleNon-Tipped TippedAgeJUNE 2023View a full methodology at EPIOnline.org.Senator Bernie Sanders has proposed raising the federal minimum wage to $17 per hour, despite failing to receive support from members of his own party in 2021 for a nationwide $15 minimum wage bill. A large majority of economic research and American labor economists agree this proposal would have signicant negative consequences for minimum wage employment. Using methodology developed by the nonpartisan Congressional Budget Oce, a $17 federal minimum wage is estimated to have the following negative impacts on employment:• The nation can expect to lose over 1.2 million jobs. Sixty-two percent of job losses will be among women, and 63% percent will be lost among16-24 year olds.• The restaurant and bar industry will account for 40% of total job losses, and a quarter of these will be jobs held by tipped workers.• Adding federal tip credit elimination to a $17 minimum wage, raising the current tipped minimum wage by 700%, would kill an additional 447,000 jobs, bringing total job loss to 1.65 million jobs.THE IMPACT NATIONWIDE:• A 134% increase to the federal minimum wage• 1.2 million jobs lost• 5.4% of total restaurant industry jobs lost• 8.8% of total tipped jobs lostEconomic analysis by:Dr. William Even, Professor Emeritus, Farmer School of Business, Miami University Dr. David Macpherson, E.M. Stevens Professor of Economics, Trinity UniversityThe Job Loss Impact of a $17 Minimum WageAS MANY AS 1.2 MILLION JOBS LOST-990,616 total-204,136-170,558-73,559HospitalityRetail TradeEducational and Health CareOther ServicesRestaurants and Bars ( -903,216)-1,000,000 -750,000 -500,000 -250,000 0$17 Minimum Wage Job Loss by Demographic Job Loss in Top 5 Industries-500,000-1,000,000-1,500,000-1,037,078-368,005-190,513-59,704-589,134-1,066,166-910,583-744,71716-24 25-44 45-64 65+ Male FemaleNon-Tipped TippedAgeEXECUTIVE SUMMARYFood safety is a critical part of restaurant jobs, not just for the customer, but for employees as well. While local and state requirements for training employees who handle food vary, there are also various programs designed to equip food service employees on proper safety, hygiene, and other techniques while handling, preparing, serving, and storing food in restaurants.One widely used training course is called the ServSafe Food Handlers (SFH) program, developed by the National Restaurant Association (NRA). In early 2023, advocacy nonprot One Fair Wage announced it would launch its own food safety course called the Just.Safe.Food “Food and Worker Safety Training” (FWST). One Fair Wage claimed its new program would be a cheaper, better substitute for food safety training than ServSafe. To assess these claims and the comprehensiveness of the training as a viable alternative, the Employment Policies Institute (EPI) retained Beth Torin, whose career in food safety includes fourteen years as the Executive Director of New York City’s Department of Health Oce of Food Safety. Ms. Torin independently evaluated Sections 1-8 of Module 1 of a draft of the Just.Safe.Food training, which were obtained through JustSafeFood.com.1 1 Accessed January 24th, 2023 at the following URLs: JustSafeFood.com/food-safety-pt1-mp4; JustSafeFood.com/food-safety-pt2-mp4; JustSafeFood.com/food-safety-pt3-mp4; JustSafeFood.com/food-safety-pt4-mp4; JustSafeFood.com/food-safety-pt5-mp4; JustSafeFood.com/food-safety-pt6-mp4; JustSafeFood.com/food-safety-pt7-mp4; JustSafeFood.com/food-safety-pt8-mp4; Additional sections not reviewed include “what to do in case of a workplace emergency,” “workers’ rights and legal assistance,” and “how to identify and document cases of workers’ rights violations” https://justsafefood.com/A Preliminary Review of the Just.Safe.Food Training ProgramAnalysis by Beth TorinMs. Torin is the Former Executive Director of the New York City De partment of Health Oce of Food SafetyNovember 2023The Job Loss Impact of a $17 Minimum Wage, July 2023Economists William Even and David Macpherson, of Miami and Trinity Universities respectively, found Sen. Bernie Sanders’ bill to create a federal $17 minimum and $17 tipped wage would cost up to 1.2 million jobs nationwide, with largest job losses in Texas, Pennsylvania, North Carolina, Georgia, and Indiana. Even and Macpherson estimate a quarter of all jobs losses would be for tipped employees.A Preliminary Review of the Just.Safe.Food Training Program, November 2023Former New York City Department of Health Oce of Food Safety director Beth Torin reviewed a draft version of labor activist One Fair Wage’s food handler training course. Torin found the early version had “inaccurate” and “misleading” information that would not properly train restaurant employees in the industry standard for food safety.Not So FAST, Updated April 2023This report built upon a previous 2022 analysis, but responded to the newly-introduced Fast Food Franchisor Responsibility Act, which claimed individual franchise owners of fast food restaurants were disproportionately responsible for wage claims in California. To the contrary, this new analysis found franchisee-owned fast food restaurants were responsible for just 0.65 percent of all wage claims led in the state, which is less than half the estimated share of California employment held by franchisee-owned fast food restaurants. The Impact of Initiative 82: A Survey of Restaurants in the District of Columbia, April 2023EPI surveyed over 100 local restaurants to learn how tip credit elimination would impact their operations. Responses showed 85 percent of restaurants believed they would be forced to reduce the number of tipped employees in their locations by the time the tip credit is eliminated in 2027, 80 percent would be forced to raise prices, and 70 percent would be forced to introduce service fees to adapt to the increases.Not So FAST:Compiled from California Department of Industrial Relations dataAugust 2022Analyzing Labor Law Compliance at California Fast Food RestaurantsBILLION REACHED
Media HitsThe Employment Policies Institute received over 1,000 media hits this year for its expert analysis and involvement on wage and labor issues. EPI studies, statements, and background reached over 2.6 billion readers and was featured in prestigious outlets including The Wall Street Journal, The Washington Post, Restaurant Business, and CalMatters.Leading the Fight to Protect State and Local Tip CreditsThis year the Employment Policies Institute provided in-person testimony and coordinated employee perspectives for lawmakers on the harms of minimum wage and anti-tip credit proposals. EPI executive director Michael Saltsman and research director Rebekah Paxton provided testimony before the Maryland Senate Finance Committee, Rhode Island House Labor Committee, and the Chicago City Council. EPI also joined tipped employees for a day of Pennsylvania legislature visits to communicate the negative impacts of proposals to eliminate the state’s tip credit.Tipped Workers Want Maryland to Save Their TipsPennsylvania tipped employees meet at the state houseEmployment Policies Institute1655 Fort Myer Drive, Suite 600 | Arlington, Virginia 22209Tel: 202.463.7650 | EPIOnline.orgEPI is the go-to resource on Capitol Hill for credible research on the harmful impact of wage mandates. I’ve seen rsthand the impact of its work on shaping the debate—and the vote—on legislation that would hurt the hospitality industry.Jonathan Slemrod Partner, Harbinger StrategiesRebekah Paxton testifying in Rhode Island’s House Labor CommitteeYear in Review2023
Media HitsThe Employment Policies Institute received over 1,000 media hits this year for its expert analysis and involvement on wage and labor issues. EPI studies, statements, and background reached over 2.6 billion readers and was featured in prestigious outlets including The Wall Street Journal, The Washington Post, Restaurant Business, and CalMatters.Leading the Fight to Protect State and Local Tip CreditsThis year the Employment Policies Institute provided in-person testimony and coordinated employee perspectives for lawmakers on the harms of minimum wage and anti-tip credit proposals. EPI executive director Michael Saltsman and research director Rebekah Paxton provided testimony before the Maryland Senate Finance Committee, Rhode Island House Labor Committee, and the Chicago City Council. EPI also joined tipped employees for a day of Pennsylvania legislature visits to communicate the negative impacts of proposals to eliminate the state’s tip credit.Tipped Workers Want Maryland to Save Their TipsPennsylvania tipped employees meet at the state houseEmployment Policies Institute1655 Fort Myer Drive, Suite 600 | Arlington, Virginia 22209Tel: 202.463.7650 | EPIOnline.orgEPI is the go-to resource on Capitol Hill for credible research on the harmful impact of wage mandates. I’ve seen rsthand the impact of its work on shaping the debate—and the vote—on legislation that would hurt the hospitality industry.Jonathan Slemrod Partner, Harbinger StrategiesRebekah Paxton testifying in Rhode Island’s House Labor CommitteeYear in Review2023