The Seattle Restaurant Alliance (SRA) has been working closely with the Seattle City Council and Mayor Murray on the next steps for the minimum wage proposal produced by the Income Inequality Advisory Committee (IIAC).
The restaurant industry has been committed to the process with the IIAC and have participated in negotiations from the beginning. SRA has worked with the mayor and his staff to provide smart, responsible ideas that would minimize hardships to the restaurant industry and allow SRA to support the proposal.
Unfortunately, a majority of the SRA’s solutions were not incorporated into the most recent version of the proposal. Seattle restaurants continue to believe the entrepreneurial spirit and culture of the city will be impacted if this change is not implemented correctly.
Restaurants are also deeply concerned the existing plan will increase wages for top earners, “front of the house” staff, at the expense of the lowest earners, “back of the house” staff.
In order for the mayor’s plan to be embraced by the SRA, the group plans to ask the Council and the mayor to:
Put in place a six month training wage so we can continue to hire youth, the disadvantaged, and others that simply need a second chance;
Ensure that all Seattle restaurants are allowed to recognize tips as income;
Permanently consider health benefits, tips, and education scholarships in salary calculations, based on their high value to the community, instead of eliminating these over time;
Make sure the implementation date of this new law is July 1, 2015, as agreed to by the IIAC.
The SRA plans to participate in further dialogue that will take place over the next few months, whether that be with the City Council or with the voters directly via the initiative process, in order to find a plan that works for everyone.
The Washington Restaurant Association will keep you informed of the SRA activities on this issue. For questions on this issue contact Josh McDonald.
Good news! Liquor Control Board chooses to NOT adopt rules restricting price negotiations
On Tuesday, the WRA was successful in making your voice heard. The Liquor Control Board (LCB) announced it will not adopt rules prohibiting channel pricing. This is positive for our industry. We believe the LCB has heard the concerns of restaurants and is stepping back to revisit how the rules are implemented.
The WRA has been in an ongoing discussion with the LCB on a proposed rule package that would restrict restaurants from negotiating prices on spirits and wine, and prohibit channel pricing.
During the April 23 public hearing, the WRA attended and provided input from more than 100 restaurants in addition to numerous legal opinions challenging the LCB’s authority to adopt the rules. Since then the LCB scheduled and postponed several meetings to adopt the new rules.
The WRA is optimistic that the LCB will continue to value and consider the impact on restaurants as it proceeds with rulemaking. The ability to negotiate allows restaurants to control costs, compete fairly and provide products and services customers demand at prices they are willing to pay for them.
Washington Restaurant Market Watch: Many restaurant customers reluctant to try new items
Old habits die hard when it comes to food.
A recent survey found that 70 percent of respondents order items they’ve had before when they visit a restaurant. Indeed, restaurant customers typically have such entrenched ordering habits that only 30 percent of customers will try a new item in spite of heavily promoted new items and limited-time offers often used by chains, in particular, to introduce these products.
Consumers generally try unfamiliar menu items based on perceptions of how they might look or taste, according to The NPD Group, the New York-based market research firm that conducted this study in October 2013. Customers also, however, may look at other factors like the healthiness of an item or price point or an item’s healthfulness, the research found. Read more…
Mark your calendar for Hospitality Breakfast Forum, Seattle, May 21
Join the WRA and the Education Foundation on Tuesday, May 14, at the Wild Ginger in Seattle. Tickets are $20, and include three seminars on the state of the industry presented by industry leaders, including WRA President and CEO Anthony Anton. The ticket also includes breakfast served by Western Food Marketing, and sponsored by Food Services of America, along with ERNwest. Register online.
Health-care full-time definition bill gathers support
Support is building for the Forty Hours is Full-time Act, S. 1188. This measure would change the Affordable Care Act’s definition of “full-time” from 30 to 40 hours. This legislation is sponsored by Sens. Susan Collins, R-Maine, and Joe Donnelly, D-Ind. Support of the bill by restaurant operators is helping to convince senators to get on board with this measure. Sens. Mike Crapo, R-Idaho, and Richard Burr, R-N.C., are among the most recent senators to sign on to this bill. Contact your senators and urge them to support this important legislation.
Listen to WRA’s DineNW radio show – now online!
Don’t miss the WRA’s DineNW radio show now available online. Our May 14 show features Kahale Ahina, coach of Bonney Lake High School’s champion ProStart culinary team; Jennifer Miller, owner of The Blend Café; and Stephanie Davenport, the WRA’s new communications advocacy manager. Our April 30 show features Chris Murphy of Marv’s Marvlus BBQ; Julie Kropf, owner of Julie’s Gluten-Free Bakery; and more conversation with The Blend Café’s Jennifer Miller.
Don’t miss Washington Small Business Forum, May 29
Presented by the IRS Stakeholder Liaison and Washington State Department of Labor & Industries, the Washington Small Business Forum gives you essential information every small businessperson should know. The forum includes great presentations on helping women start and grow successful small businesses, an update on new legislation, state business licensing changes and everything you need to know about the Affordable Care Act’s ERISA required notices. This forum will be conducted at L&I’s office at 12806 Gateway Drive South, Tukwila, Thursday, May 29, 9 a.m.—noon. To register, or for more information, contact Kari Gilje at kari.s.gilje@irs.gov or (206) 220-5469.
Federal Reserve Chair Yellen believes minimum wage hike to $10.10 would kill jobs
Federal Reserve Chair Janet Yellen testified in the U.S. Senate last week that a minimum wage increase would likely cause the elimination of some jobs. “I think almost all economists think that the minimum wage has two main effects,” Yellen said, increasing paychecks for low-wage workers and having “some amount of negative impact on employment.” Yell indicated that she didn’t disagree with the Congressional Budget Office’s estimate that 500,000 jobs would be lost if the federal minimum wage increases to $10.10.
Your chance to network with a grand view – Sip & Savor, Smith Tower, Seattle, June 25
Join the WRA Education Foundation as it hosts one of the premier hospitality events in June. Some of the best bartenders in Seattle and surrounding areas will compete to see who can create the most delicious cocktails from secret ingredients found in a series of black boxes. The cost of the event is $75 and seating is limited. Only 25 VIP tickets are available for $125, and these exclusive tickets allow for a limited number of people to attend both of the night’s competitions. Plan now, plan early, this will be an extravagant night of fun, networking, and one of the best views that Seattle has to offer. Contact the WRA now to reserve your tickets.