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Cafe Adds ‘Minimum Wage Fee’ to Customers’ Checks

Imagine if they itemized every cost added by government?

by
Walter Hudson

Bio

August 5, 2014 - 11:51 pm

As prices incrementally go up for products and services, it may not always be clear why. Indeed, some increases may go wholly unnoticed until presented in a comparison over several years.

One establishment in the picturesque Minnesota town of Stillwater decided to make a recent increase in their prices wholly transparent. As reported by City Pages, the Oasis Cafe has added a “minimum wage fee” to its customers’ checks to reflect and offset the increased cost of a newly implemented minimum wage law. Explaining the move on Facebook, the business writes:

WIth regards to why we’re charging a $.35 fee to cover the recent $.75 increase in in minimum wage…we estimate the increase in labor cost will will cost our company more than $10,000 per year…which has to be offset by an increase in revenue in order to operate profitably. Rather than increase the prices of our menu items, we chose to charge a flat fee. If the state of Minnesota would pass tip credit, like 43 other states have done, none of this would be necessary. For what it’s worth, we pay our people very well. Our dishwashers start at $10/hour, our cooks start at $12/hour and our servers average more than $20 when you consider what they earn in tips…

The explanation was offered in response to a critic on Facebook who claimed the move placed the business’s employees in a bad light. “Don’t you wonder how that makes your employees feel, making them look like the bad guys to their customers. Shame on you,” the critic wrote. How a customer would come to the conclusion that the minimum wage fee reflected in any way upon employees was not made clear.

Criticizing a business for effectively publicizing the effects of government (read: force) upon their operation is blaming the victim. Sympathy morally belongs with the business owner, whose capacity to act upon their own judgment and trade value for value honestly has been handicapped by government edict. If more businesses and organizations engaged in this kind of transactional activism, it might stimulate much needed debate on the morality of capitalism and the immorality of price controls.

(Today’s Fightin Words podcast is on this topic available here. 13:18 minutes long; 12.83 MB file size. Right click here to download this show to your hard drive. Subscribe through iTunes or RSS feed.)

Walter Hudson advocates for individual rights, serving on the board of the Republican Liberty Caucus of Minnesota, and as president of the Minority Liberty Alliance. He hosts a daily podcast entitled Fightin Words, proudly hosted on Twin Cities Newstalk Podcast Network. Walter is a city council member in Albertville, MN. Follow his work via Twitter and Facebook.

Comments are closed.

Top Rated Comments   
I like it.

I like it a LOT.

The more people have to face the real cost of government, the more likely they are to wake up and say NO.

The inventor of the payroll tax withholding system, a good man who made a bad mistake, bitterly regretted this contribution to the WWII effort. It was his idea to increase revenue for the war effort, and it worked VERY well.

And of course, now we are so accustomed to it, many of us don't pay ANY attention to the part that is taken out of our check. We just do all our assumptions and calculations on "take home pay", and mentally discount the rest without much thought. This is what he regretted.

This is one of the many reasons I support sales taxes as a replacement for ALL other taxes (yes, including property taxes).

Aside from its many other advantages, a retail sales tax (NOT a VAT!), is IN YOUR FACE every time you make a purchase. I'd like to see federal, state, and local taxes each on its own line, IN RED INK, on every receipt for goods and services.

I want the real cost of government, as far as possible, to be SHOVED IN EVERY CITIZEN'S FACE, all the time, every day, every purchase.

A hidden tax is an evil tax.
15 weeks ago
15 weeks ago Link To Comment
All Comments   (6)
All Comments   (6)
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This business is paying more than minimum wage already aren't they? How do they figure a cost increase on wage rates that are not affected?
13 weeks ago
13 weeks ago Link To Comment
My phone bill itemizes all of those tarriffs, franchise fees, universal service charges and other government crap. I'd like to see an annual summary of all of the government's largess on all of my bills.

I'd like to see it on everything I buy, just like a nutrition label. Especially the energy costs, capital gains, employer mandates, and commodity limitiing costs, like with peanut butter and sugar.

I'd especially like to see it every time I pay for health care and medical insurance.

I'd like to see it, even on those things I'm buying that have several stages, from unearthing the raw materials, to tariffs on importing components, to the transportation taxes to bring them in for assembly, to delivering them to a warehouse (and the property taxes paid on warehouse goods), to their final destination and the taxes on the minimum wage greeter at the door.

I'd like to see it posted to people who are paying rent, who think they're not paying property taxes, and shrug their shoulders when the city council comes up with another grandiose scheme to make the city more livable, or bicycle friendly, or "Smart".

All for it. Excellent suggestion, Mr. Hudson.
15 weeks ago
15 weeks ago Link To Comment
Truth in labeling - who could object.
RULE 4: “Make the enemy live up to its own book of rules.”

"Average U.S. household spends more on federal regulations than for health care, food or transportation."
http://washingtonexaminer.com/average-u.s.-household-spends-more-on-federal-regulations-than-for-health-care-food-or-transportation/article/2547819?custom_click=rss
15 weeks ago
15 weeks ago Link To Comment
I like it.

I like it a LOT.

The more people have to face the real cost of government, the more likely they are to wake up and say NO.

The inventor of the payroll tax withholding system, a good man who made a bad mistake, bitterly regretted this contribution to the WWII effort. It was his idea to increase revenue for the war effort, and it worked VERY well.

And of course, now we are so accustomed to it, many of us don't pay ANY attention to the part that is taken out of our check. We just do all our assumptions and calculations on "take home pay", and mentally discount the rest without much thought. This is what he regretted.

This is one of the many reasons I support sales taxes as a replacement for ALL other taxes (yes, including property taxes).

Aside from its many other advantages, a retail sales tax (NOT a VAT!), is IN YOUR FACE every time you make a purchase. I'd like to see federal, state, and local taxes each on its own line, IN RED INK, on every receipt for goods and services.

I want the real cost of government, as far as possible, to be SHOVED IN EVERY CITIZEN'S FACE, all the time, every day, every purchase.

A hidden tax is an evil tax.
15 weeks ago
15 weeks ago Link To Comment
"sales taxes as a replacement for ALL other taxes"

Plus one ultimately has a choice whether to pay it or not - well unless it were applied to health insurance.
15 weeks ago
15 weeks ago Link To Comment
By the way, Walter, I'm glad to see you writing more articles again. I'm not a fan of the videos.

Now if we can just get you to understand the difference between a statement and a question...... ;-)

"Imagine if they itemized every cost added by government?"
15 weeks ago
15 weeks ago Link To Comment
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