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To the editor:
I am responding to the article, “IRS considers tips wages, shouldn’t you?” by Dale Fox, president and CEO of Alaska CHARR, a trade association that represents restaurants, bars, package stores and hotels.
Mr. Fox does not name the legislators or members of CHARR who crafted House Bill 240, which will be voted on in Juneau now.
This letter is my opinion of House Bill 240.
When the law passed where employee tips had to be reported to the IRS as taxable income, this was not pro-employee, but taxes help in the form of public assistance programs. House Bill 240 gives power to the employer to freeze a tipped employee’s minimum wage, even if the minimum wage goes up in the future. This is not pro-employee. Using House Bill 240 to target a specific part of the minimum wage calculation is not pro-employee. The bill targets a part of the workforce that the Alaska public chooses to give a tip to so that a business can increase its profit margin, and is just outrageous. This takes money out of the pocket of employees the Alaska public chooses to give a helping hand as a gift tip, which in turn always lifts up the spirit of the employee. House Bill 240 is just shameful and sneaky.
Alaska public, let your voices be heard in the Legislature about House Bill 240. Just say “no” to House Bill 240.
This is a stepping stone to break down the minimum wage law that results in Alaska joining the ranks of others states where, by law, business do not have to pay minimum wage to employees who receive tips. Alaskan-tipped employees — do not be deceived by the bill, which is not pro-employee. Make your voices heard on House Bill 240 to the Legislature in session in Juneau, not just for yourselves but also for the future of your children. Ask your legislators to reject the bill and stay the course, where employees can earn minimum wage and keep their tips.
I feel that House Bill 240 is sneaky discrimination against tipped employees, and I should know since I worked as one in the past. That is the perspective I am writing from. I called my legislators, have you?
Irma Rhodes King
Meadow Lakes