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How the push for minimum wage is leaving behind tipped workers

(FINANCE NEWS) It makes sense that as the cost of living increases, the minimum wage would rise to reflect that. So why has tipped worker wage been the same since 1996?

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Real world hustle

Many a professional has entered the work force through a customer service-based position. Some stick with the position(s) for a little bit, gather a few retail or restaurant horror stories, and move on to other opportunities. Some folks thrive on the often fast-paced environment and make a career of it. Regardless, it is safe to say that when starting out on this career path, the job seeker will likely be making somewhere around minimum wage. However, one of the primary reasons job seekers are drawn to restaurants is the opportunity to make some extra cash in tips.

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The rise of the wage

Since 2009, the federal minimum wage has been set at $7.25 per hour, though the rate is higher in many states. Recently, efforts have gained traction in once again raising the federal minimum wage. States such as California and New York have set legislation to raise the minimum wage to as high as $15 per hour by 2020, and Massachusetts and Washington are currently tied for having the highest minimum wage at $11 per hour. It makes sense that as the cost of living increases, the minimum wage would rise to reflect that.

Would you believe, then, that since 1996 the minimum wage for tipped workers has been set at $2.13 per hour?

Crunching the numbers

In case you’re too lazy to do the math, I’ve taken the initiative to present you with some figures. (And if you’re insecure about your mathematical skills, then let me assure you that I had to use a calculator). The federal minimum for tipped workers is $5.12 per hour less than untipped workers. Working 40 hours per week, untipped workers making minimum wage would make roughly $15,000 annually.

Tipped workers, based on hourly wages alone, would make less than $4,500 annually.

I mean, maybe it’s just me, but that seems a little unbalanced now, doesn’t it?

A hard day’s work

Now, in all fairness, these figures are purely based on hourly wages. At high-end establishments, especially, the tips can be quite good and more than make up for the significant wage gap.

But at less-expensive establishments, that wage gap can most assuredly be felt among the workers. If the establishment isn’t busy, or even if too many parties forget or decline to leave a tip, servers could potentially be walking away from an 8-hour workday having barely made $20.

If too many parties forget or decline to leave a tip, servers could potentially be walking away from an 8-hour workday having barely made $20.Click To Tweet

This example may be a bit extreme, but it is certainly within the realm of plausibility.

Who’s in the fight?

Restaurant Opportunities Centers United launched a campaign in 2013 to bring about legislation that would abandon the two-tiered wage system. Currently, there are only seven states that have such legislation in place, with Maine voting to become the eighth last year. Though the group is currently planning a major push in several states to move legislation this month, activists are worried progress may face major challenges over the next four years, largely due to President Trump’s nomination of Andrew Puzder as Labor Secretary.

Puzder, the CEO of CKE Restaurants – parent company of Hardee’s and Carl’s Jr.- has been an outspoken critic of raising the minimum wage.

The group also faces strong opposition in the National Restaurant Association, whose shared initials with another, often vilified association we will not discuss.

The opposition

The National Restaurant Association argues that an increase in wages would lead to an increase in food prices, directly leading to a decrease in both jobs and tips. They also argue that tipped workers are already among the highest paid workers in restaurants, so an increase in wages would be unnecessary. This line of thinking, of course, fails to include the idea that the amount servers are tipped are often enough based upon things that are out of their control.

You know, things like sex, race, age, physical attractiveness, etc.

It’s about to get real

In closing, there is an argument to be made for and against a two-tiered minimum wage. Certainly, there are many servers throughout the country getting paid an hourly rate that is significantly less than that of untipped minimum wage, and thriving due to high-tipping patrons. However, there are just as many workers, if not more, that are struggling to make ends meet at $2.13 per hour, plus a couple bucks in tips.

The restaurant industry has changed significantly over the past 20 years. Shouldn’t wages have as well?

#MinimumWage

Andrew Clausen is a Staff Writer at The American Genius and when he's not deep diving into technology and business news for you, he is a poet, enjoys rock climbing, monster movies, and spending time with his notoriously naughty cat.

Tech News

Daily Coding Problem keeps you sharp for coding interviews

(CAREER) Coding interviews can be pretty intimidating, no matter your skill level, so stay sharp with daily practice leading up to your big day.

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Whether you’re in the market for a new coding job or just want to stay sharp in the one you have, it’s always important to do a skills check-up on the proficiencies you need for your job. Enter Daily Coding Problem, a mailing list service that sends you one coding problem per day (hence the name) to keep your analytical skills in top form.

One of the founders of the service, Lawrence Wu, stated that the email list service started “as a simple mailing list between me and my friends while we were prepping for coding interviews [because] just doing a couple problems every day was the best way to practice.”

Now the service offers this help for others who are practicing for interviews or for individuals needing to just stay fresh in what they do. The problems are written by individuals who are not just experts, but also who aced their interviews with giants like Amazon, Google, and Microsoft.

So how much would a service like this cost you? Free, but with further tiers of features for additional money. Like with all tech startups, the first level offers the basic features such as a single problem every day with some tricks and hints, as well as a public blog with additional support for interviewees. However, if you want the actual answer to the problem, and not just the announcement that you incorrectly answered it, you’ll need to pony up $15 per month.

The $15 level also comes with some neat features such as mock interview opportunities, no ads, and a 30 day money back guarantee. For those who may be on the job market longer, or who just want the practice for their current job, the $250 level offers unlimited mock interviews, as well as personal guidance by the founders of the company themselves.

Daily Coding Problem enters a field with some big players with a firm grasp on the market. Other services, like InterviewCake, LeetCode, and InterviewBit, offer similar opportunities to practice mock interview questions. InterviewCake offers the ability to sort questions by the company who typically asks them for that individual with their sights targeted on a specific company. InterviewBit offers referrals and mentorship opportunities, while LeetCode allows users to submit their own questions to the question pool.

If you’ve really got your eye on the prize of receiving that coveted job opportunity, Daily Coding Problem is a great way to add another tool in your tool box to ace that interview.

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Tech News

Quickly delete years of your stupid Facebook updates

(SOCIAL MEDIA) Digital clutter sucks. Save time and energy with this new Chrome extension for Facebook.

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When searching for a job, or just trying to keep your business from crashing, it’s always a good idea to scan your social media presence to make sure you’re not setting yourself up for failure with offensive or immature posts.

In fact, you should regularly check your digital life even if you’re not on the job hunt. You never know when friends, family, or others are going to rabbit hole into reading everything you’ve ever posted.

Facebook is an especially dangerous place for this since the social media giant has been around for over fourteen years. Many accounts are old enough to be in middle school now.

If you’ve ever taken a deep dive into your own account, you may have found some unsavory posts you couldn’t delete quickly enough.

We all have at least one cringe-worthy post or picture buried in years of digital clutter. Maybe you were smart from the get-go and used privacy settings. Or maybe you periodically delete posts when Memories resurfaces that drunk college photo you swore wasn’t on the internet anymore.

But digging through years of posts is time consuming, and for those of us with accounts older than a decade, nearly impossible.

Fortunately, a Chrome extension can take care of this monotonous task for you. Social Book Post Manager helps clean up your Facebook by bulk deleting posts at your discretion.

Instead of individually removing posts and getting sucked into the ensuing nostalgia, this extension deletes posts in batches with the click of a button.

Select a specific time range or search criteria and the tool pulls up all relevant posts. From here, you decide what to delete or make private.

Let’s say you want to destroy all evidence of your political beliefs as a youngster. Simply put in the relevant keyword, like a candidate or party’s name, and the tool pulls up all posts matching that criteria. You can pick and choose, or select all for a total purge.

You can also salt the earth and delete everything pre-whatever date you choose. I could tell Social Book to remove everything before 2014 and effectively remove any proof that I attended college.

Keep in mind, this tool only deletes posts and photos from Facebook itself. If you have any savvy enemies who saved screenshots or you cross-posted, you’re out of luck.

The extension is free to use, and new updates support unliking posts and hiding timeline items. Go to town pretending you got hired on by the Ministry of Truth to delete objectionable history for the greater good of your social media presence.

PS: If you feel like going full scorched Earth, delete everything from your Facebook past and then switch to this browser to make it harder for Facebook to track you while you’re on the web.

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Tech News

Google’s reCaptcha better secures sites, but comes with wild privacy risks

(TECHNOLOGY) Google has made some serious advances when it comes to reCaptchas, and they’re extremely impressive. Unless you value your privacy…

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Check here if you are not a robot. If you are not a robot, can you read this nonsensical string of letters and numbers that looks like it’s been wrung out like a wet towel? Can you choose the picture of a car out of these nine street scenes?

Over the years, Google has come up with a number of ways to verify that internet users, especially when signing into accounts, are not, in fact, bots. The most up-to-date system, reCaptcha v3, stands to big up web security, but comes with some serious privacy compromises.

The new reCaptcha is invisible to the user. No more clicking through pictures of street signs and dogs. According to Cy Khormaee, product lead for reCaptcha, “Everyone has failed a Captcha,” but from now on, users will no longer have to worry about it.

That’s because the new reCaptcha v3 detects bots by analyzing a user’s navigation of the site itself. Unusual or malicious actions generate a higher risk score. Website administrators receive users’ risk scores, and can respond according by, for example, requiring further verification from suspicious users.

This new method should make it much more difficult for bots to crack a site, because mimicking a whole string of human behaviors is much more complicated that breaking the old Captchas.

Over 4 million sites are still using the old Captchas, while 65,000 new sites are testing out reCaptcha v3. While some sites will display the reCaptcha logo at the bottom of the page, you mostly won’t be able to tell which sites are using the new service.

One major trade off is consumer privacy. As part of assessing a user’s risk score, reCaptcha v3 checks to see if you already have Google’s cookie installed – the one that allows you to open new tabs without re-signing in to Google. The logic is that, if you have a Google account, you are more likely to be a real person. The downside is that this means that Google is receiving data from every site you visit that uses reCaptcha v3.

And what will they do with this data? Google told Fast Company that reCaptcha gathers “hardware and software information, including device and application data” and that this data was used only “to fight spam and abuse.” They claim that data won’t be used to target advertising to users.

As of yet, Google’s Terms of Service does not include any language about reCaptcha. Once again, consumers have nothing more than the good word of the corporation to trust when it comes to their privacy.

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