I'm fascinated that the only source for the 4$/hour + tips is a tweet. As far as I can tell, that's it. In fact, the article doesn't even make the claim, just republishes the tweet.<p>The Sonic statements says no wage have decreased, but this is not pointed out, fact-checked or commented on.<p>Real good journalistic work.<p>And to be honest, the strategy works. The fact that it (hopefully temporarily) cracked HN's frontpage is testament to that.
Proof collective action works. The PR was so bad, corporate stepped in and and exercised their right to forcibly acquire the locations in question back from the franchisee. The workers have been offered their jobs back as well.<p>“Additionally, with the ownership change, employees may now have their paycheck direct deposited and general managers are now eligible for a new bonus program, among other benefits.”
When the people have nothing left to lose, they will make the right choice and strike.<p>The key is to give the working class the slightest bit of hope to cling onto.<p>People will accept lots of abuse if they think there is still a chance of making it in life if they obey their masters.
Pretty fucked up if you think about it. In order to circumvent minimum wage laws, they reclassified their employees as tipped employees, thus exempting them from having to pay state minimum wage. These types of practices are common in third world countries. It would seem the US has dropped from a developed nation to a developing one. This is also further proof that a minimum wage doesn’t work. The free market should decide the fair market value of a laborer.
I'm not sure about Ohio but I thought the rule was that you were obligated to pay out the difference if tips don't make them go to minimum wage.<p>So was this policy from the new owners just a way to slightly reduce costs. From any tips the employees got? Do fast food workers get tips? It seems.... so cheap.
It's not clear, but I think what happened may be:<p>1. Restaurant ownership changed
2. New owners set wages at min(4 + tips, 8) instead of 8 + tips.
3. Staff quit<p>Technically, the minimum amount earned didn't change, but they'd be making less if they got any tips?
If this cut to $4/hr is indeed true and documented act by the management - they'll soon be using their savings to pay for own legal bills.<p>However - better wait for the full and well-researched story to follow ...