After New York raised the minimum wage at the start of the year, the city’s residents noticed a change in something else: the price of food. Unfortunately, servers who expected to be paid more are now being let go.
On January 1, 2019, the minimum wage in New York raised from around $13 dollars per hour up to $15 per hour. In order to account for the wage bump, restaurant owners have made their own changes as well. According to a recent article, menu prices are higher at almost every restaurant in the city, and customers are foregoing eating out as a result.
Unfortunately, the changes aren’t specific to certain types of restaurants. From local eateries to high-end restaurants, customers are finding it hard to escape the surge in menu prices. While local establishments are changing their prices by a dollar or two, fine dining establishments have had to increase their prices by $5 to $10 in order to pay their staff minimum wages and make a profit.
Tragically, many restaurant owners are faced with an impossible decision. Many restaurant owners chose to raise prices and not let their staff go following the new minimum wage laws. However, customers are now choosing to bring their lunch to work and make dinner at home instead of going out to eat. As a result, restaurant owners are being forced to let their staff go regardless. Sadly, understaffed restaurants might have trouble bringing in business, even if customers are willing to accept the increase in prices.
Minimum wage laws can be complicated, especially for employees who are now being let go as a result of recent changes. If you believe your employer is in violation of wage and hour laws, it can be beneficial to consult with an experienced employment and labor law attorney to discuss your options and fight for the compensation you deserve.