The restaurant owner who’s ditching tips says she’s already lost servers over new policy

Source: Bangor Daily News
Published: Oct 28, 2016
Author: Kathleen Pierce
Post Date: 2016-10-28 09:39:13 by misterwhite
Views: 2014

Cara Stadler says she just wants to do the right thing.

On Tuesday, the owner of Portland’s Bao Bao Dumpling House and Tao Yuan in Brunswick announced her plan to jettison tips, pay all servers $15 an hour and tack on an 18 percent surcharge on checks. “Tips is such an arcane system. It just doesn’t make sense,” she said.

Her motive, she says, is to “create stability in the workplace, because there is a disparity in pay.”

Though servers make a paltry $3.75 an hour, with gratuity a waiter/waitress at Tao Yuan can easily pull down “$30 to 40 an hour,” she said. “In some cases a server is making more than the cooks, the bartenders and even me.”

The hate mail came in fast, and a few servers have left, she said. “Many people write in saying ‘we will never come to your establishment again.’ I’ve been slandered online, saying we will take this money and put into our pockets,” she said. “It’s frustrating and hurtful.”

But Stadler is committed to the overhaul, which kicks in Dec. 1. She is looking at successful models by NYC restaurateur Danny Meyer and joins the soon-to-open Old Port takeout spot Baristas and Bites.

Why now? With a federal law on overtime pay kicking in soon she wants to create a fair and equal workplace. And with more revenue to train staff, she hopes to stem the serious chef drought plaguing the nation.

“This gives me the ability to invest in full-time employees and grow the company,” said Stadler, who wants to offer paid vacation, training and health insurance to all servers and full-time employees and eliminate anxiety on slow nights.

The move comes amid a statewide vote next month to raise the minimum wage to $12 an hour by 2020. Stadler is getting a head start.

As one of the first full-service restaurant owners in Portland to nix tips, she is crossing her fingers her dream of a better workplace sticks. When her third establishment, wine restaurant Lio opens in Portland next summer, she will have a total of 70 employees to look after.

“There is a lot to figure out. This is not the be all end all. I’m trying to put in better systems,” she said. “This is the first step into that foray.”

Post Comment   Private Reply

#1: Hank Rearden    To: misterwhite (#0)

Hopefully the next owner of these places will be smarter, but minimum wage hikes just sell robots in the long run.

Hank Rearden posted on 2016-10-28 09:46:22   Reply   Private Reply


#2: misterwhite    To: All (#0)

Well, there you go, liberals. Everything you want. $15.00 an hour and everyone gets paid equally. What's the problem?

Many employers across the country, faced with the demand for $15 an hour, have responded by eliminating other employee perks such as employee discounts, 401k, health insurance, paid holiday, vacation, free food, overtime, and free parking.

Reap what you sow.

misterwhite posted on 2016-10-28 09:47:56   Reply   Private Reply


#3: misterwhite    To: Hank Rearden (#1)

"but minimum wage hikes just sell robots in the long run."

Robots can works 24 hours a day, every day, with no vacation, holidays, or sick time. They're never late for work. They don't sue for racial discrimination, sexual harassment, religious discrimination, or special accommodations for their disability. They don't injure their backs and go on lifetime disability. They don't get pregnant.

misterwhite posted on 2016-10-28 09:54:57   Reply   Private Reply


#4: Roscoe    To: misterwhite (#2)

What's the problem?

To each according to their needs. She needs to means test the waitresses to ensure an equitable distribution of wages.

Roscoe posted on 2016-10-28 10:18:23   Reply   Private Reply


#5: misterwhite    To: Roscoe (#4)

Yes, I must:

misterwhite posted on 2016-10-28 10:26:08   Reply   Private Reply


#6: misterwhite    To: All (#0)

"with gratuity a waiter/waitress at Tao Yuan can easily pull down “$30 to 40 an hour,”

That's $60 to $80K per year, much of that in cash income.

But the lazy-assed, lowest common denominator workers who aren't making anywhere near that insist on the owner paying them more than they're worth.

Now the good waitresses will leave and the owner will go out of business.

misterwhite posted on 2016-10-28 10:58:38   Reply   Private Reply