Comment of the Day: “Ethics Quiz: The Tip-Sharing Plan”

We have a rare Ethics Alarms Quote of the Day hand-off. Responding to the ethics quiz about the ethics of tip-sharing,  veteran commenter JutGory wrote,

“My understanding is that, in some places, servers collect the tips and “tip-out” to the others (kitchen staff, etc.) at certain rates. If that is the culture (I have never been a server; not my skill set), why is a server trusted more than the employer to be fairer than the employer in tipping out?”

I have written about tipping ethics issues for years, and never encountered the concept of “tipping out,” perhaps because the minimum wage jobs I had in my youth never involved tips of any kind. Still Spartan picked up JutGory’s baton and dashed for the finish line. Here is her Comment of the Day on the post, Ethics Quiz: The Tip-Sharing Plan: 

I used to work at a fancy restaurant and that was the system. The percentage of tip out was based on total food sales, so you couldn’t cheat. And, if I received really generous tips, I was incentivized to tip more because I wanted the hostess to seat good customers at my table, my drinks up first, my tables bussed quickly, etc. I would never work at a place that pooled tips because I was quite frankly better than most servers. I was quick, friendly, and rarely made a mistake. I could up-sell my customers on liquor and food which meant more money for me at the end of the night. And you people think I am anti-capitalist! Chefs aren’t tipped and they make a lot more than $3/hr., and although it is a hard job, at least their revenue is consistent. Many managers are well-paid too and often double as hosts or bartenders. I would be pissed if they had the ability to collect my tips.

The real solution to this problem is to pay servers a living wage and just have it incorporated into the price of food.

Ethics Quiz: The Tip-Sharing Plan

Last year the Trump administration announced a proposal to amend a 2011 regulation prohibiting employers from collecting server tips and distributing them to anyone other than servers. If the new proposal is adopted, employers could theoretically use workers’ tips for  any purpose, as long as the workers who received the tips were directly paid at least the federal minimum wage of $7.25 an hour. The restaurant industry opposed the Obama regulation, and argues that more freedom would allow employers to share the tips of waiters and waitresses with other workers like busboys, greeters, cooks and dishwashers.

Labor advocacy groups and former Obama administration officials counter that the regulation would legalize employers stealing income from workers, since they could theoretically pocket the tips.

Your Ethics Alarms Economics/Labor/Human Nature Quiz of the Day…..

Is the proposed regulation fair, responsible and ethical, or not?

Continue reading

Morning Ethics Warm-Up: 1/13/2018: Dumb and Dumber

GOOD MORNING!

(I really looked forward to Saturday mornings in those days…)

1 There has to be a special Ethics Alarms category for this…But what? Lizzie Dunn sprayed herself in the face with sulphuric acid, stumbled into a deli on Staten Island, and told horrified customers as her face was melting that a middle-aged black woman had attacked her when Dunn refused her demand cigarettes and money at a bus stop.  Local news outlets spread the frightening tale of the acid-spraying stranger before police questioned Dunn and she recanted.Apparently she has a history of hurting herself. I’d include the photo of what her face looks like now, but that’s no way to start a long weekend.

2. From the “This is getting ridiculous” Dept. Stan Lee, ta Marvel Comics icon and the creator of many comic book heroes,is 95 years old but still pretty spry s he enjoys late life celebrity. The NHL’s Arizona Coyotes invited hm to be its ceremonial pregame puck dropper for yesterday’s game, but cancelled its invitation after some of the nurses who had cared for Lee at his home accused him of sexual harassment. Lee not only denies the allegation from the company that employed the nurses that he has “spoken inappropriately” to some of them and had tried to “grope them,” he claims to be the victim of a shakedown. His lawyers have threatened to sue the company for defamation, and Lee’s current nurse providers say he is a “perfect gentleman.”

This is #MeToo bullying. As usual, we have no way to know who is telling the truth, but the Coyotes are cowardly and unfair to embarrass Lee publicly by behaving as if he is guilty when investigations so far have proven no wrongdoing. He deserves the benefit of the doubt, and the prospect of eldercare nurses being primed to cry sexual misconduct when some geezer engages in dubious but harmless behavior that he was raised to think was a privilege of old age is frankly frightening.  Lee is wealthy, famous, and at his age poses no physical threat to any caretaker nor creates a hostile work environment in a profession that routinely faces far worse daily indignities than a pat on the rear or a racy wisecrack. He would be easy prey for #MeToo extortion: all that would be needed is a group of nurses to agree to accuse him and split the pay-off.  Meanwhile, the Coyotes would hardly be regarded as enablers of sexual violence if they let the guy drop a puck. Continue reading

Morning Ethics Warm-Up: 6/27/17 [Updated]

1. Since I don’t want to have too many posts at once showing how untrustworthy CNN has become, let’s put this one in the short form: on Sunday, CNN’s alleged show about journalism ethics, “Reliable Sources,” hosted by “watchdog” (stifling a guffaw here) Brian Stelter, conveniently skipped the single biggest broadcast journalism scandal in years.

Thomas Frank, a reporter for “CNN Investigates, announced that “the Senate Intelligence Committee  was investigating a Russian investment fund”, the Direct Investment Fund — “whose chief executive met with a member of President Donald Trump’s transition team four days before Trump’s inauguration.” The CNN “exclusive ” was based on a single  unnamed source, and quickly attacked as fake news—which it appears to have been. CNN, of course, has pushed the Trump-Russia collusion hypothesis as if it were a missing Malaysian airplane. The network pulled the story, retracted it, and three reporters involved in the fiasco “resigned.”

If one were depending on Stelter to get a weekly briefing on how reliable and ethical news media sources were in the week past, one would have been thoroughly deceived. “Reliable Sources,” under the oversight of Stelter, itself isn’t reliable or ethical. It is a house mouthpiece, masquerading as an ethics show. This is res ipsa loquitur, an episode that speaks so loudly by itself that no further evidence is required. If the host of a broadcast ethics watchdog cannot and will not report on serious ethics breaches by his own employer, which is also one of the most visible and significant broadcast news outlets in the journalism, then the show isn’t really dedicated to journalism ethics. It is a biased tool of competition and propaganda, with conflicts of interest that it neither admits nor tries to avoid.

Stelter devoted most of his show to attacking President Trump for not according proper respect to the news media. The President has labelled CNN as “fake news.” This episode vividly demonstrated why.

2. Watching HLN’s Robin Meade this morning to avoid “Fox and Friends” (the CNN outgrowth also has thus far  neglected to mention the network’s fake news episode,) the Cheerful Earful began, “The minimum wage might actually hurt workers????” while making a shocked face that would be appropriate if she was saying that the moon was made of cheese. Thus do those constantly marinated in progressive/ Bernie-style fantasies set themselves up for amazement by the obvious.

Yes, Robin, it has been well-known for about a century that raising the minimum wages causes unemployment for workers whose negligible skills just are not worth the new mandated wage, eliminates whole job categories (summer jobs for teens being the most harmful to society), and puts many small businesses out of business. But never mind! “Living wage” sounds so kind and  good, and the rising minimum wage is always a tool to help unions  argue for increases in their much more than minimum wages, which is why the Democratic Party keeps promoting the lie that raising the minimum wage ever higher makes sense.

Robin was shocked at a new study of the results of Seattle’s huge minimum wage increase, enacted in the heat of mindless progressive faith. Conducted by a group of economists at the University of Washington who were commissioned by the city, the study indicates that far from benefiting low-wage employees, the costs to low-wage workers in Seattle outweighed the benefits by a ratio of three to one. This is the study found that  some employers have not been able to afford the mandated minimums, so they are cutting payrolls, delaying new hiring, reducing hours or firing workers. Gee, who could have predicted that?  The news media is reporting this as if it is a surprise. It’s not. I oversaw a study at the U.S. Chamber of Commerce decades ago that indicted this would happen, because it has happened before. Frankly, it’s obvious; so obvious that I have long believed that Democratic Party advocates for the minimum wage are lying to their gullible supporters.  Both Bernie Sanders and Hillary Clinton made raising the minimum wage a rallying cry, which is one of many reasons why I found it impossible to trust Bernie Sanders or Hillary Clinton.

In the meantime, having seen the writing on the wall, restaurants are increasingly moving to replace waiters, waitresses, and cashiers with automated systems, because they are cheaper…thanks to the minimum wage. If humans were cheaper, humans would keep those jobs, and restaurants would be more pleasant, unless you prefer dealing with computers than human beings. I don’t.

Lies have consequences. Or as Robin would say, “Lies have consequences???” Continue reading

California “Ethics”

California is not only rapidly exiting mainstream U.S. culture, it is forging its own distorted and unethical version of right and wrong.

Three alarming examples:

1. Forging ahead with single payer, and reality be damned.

The Sacramento Bee  pointed out that by replacing current state-run health programs with a single-payer system, the state would still need to come up with an additional $200 billion annually.This year’s state budget in California is about $180 billion. Yes, implementing a single-payer health care system would require doubling California’s current tax burden.

Oh, never mind! The state Senate voted 23 to 14 this month in favor of SB 562, a single-payer proposal that would guarantee universal health care to all Californians. “What we did today was really approve the concept of a single-payer system in California,” declared state Senator Ricardo Lara following the vote.

No, what they did was reaffirm the fact that progressive cant refuses to yield in the face of cold, hard facts, math, reason and common sense. The cheerleading from the Left is mind-numbing. Writes the Nation: If health care is a right—and it is—the only honest response to the current crisis is the single-payer “Medicare for All” reform that would bring the United States in line with humane and responsible countries worldwide.”

Well, let’s see: health care is NOT a right except in Left-Wing Fantasyland, and all of those “humane and responsible countries” have crushing tax burdens, reduced liberty, economic instability, crushing debt and completely different values, priorities and responsibilities than those of the United States.

Ethics is only ethical when it is practical and practicable in the real world. The ethical response to the fact that single-payer doubles the state budget is to say, “Oh. Well, obviously we can’t do that, then. On to plan B.”

2. That minimum wage increase that Gov. Brown said was based on principle rather than economics? Yeah, about that…

Continue reading

Comment Of The Day : “Incident At Big Bowl”

John Billingsley has been participating here for less than two months, and this is his first Comment of the Day. He explores some of the broader labor, management and cultural  issues behind the curtain in my rueful account of  inept service at an airport fast food restaurant.

Here is John’s Comment of the Day on the post, “Incident at Big Bowl.”

I believe this is an issue that goes much deeper than it appears on the surface and Son of M and Tom M in their analyses have identified some of the issues at the root of the problem. Son of M said, “I don’t know that people at this level of employment have EVER cared or are ever going to.” There are some who care, and they can be identified when you are served by them, but I agree that most them appear not to. I think this is because our culture overall is not respectful of the people who do those jobs and so they have no reason to respect themselves as a person who performs that work.

I had the opportunity to live in Japan for about two years. That was over 40 years ago, and I still remember the complete professionalism of just about every service worker I encountered. Of course, it is a cultural thing. I wish people who provide services here could develop the attitude that it is not demeaning to be a service worker.

Tom asks, “Why is all of the blame on the employees?” Continue reading

Unethical Quote Of The Month—But Awfully Revelatory, If You Have The Integrity To Accept What It Means—California Gov. Jerry Brown

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“Economically, minimum wages may not make sense. But morally, socially, and politically they make every sense because it binds the community together to make sure parents can take care of their kids.”

—–Governor Jerry Brown on April 4, as he signed into law a phased state-wide increase in the minimum wage to $15 dollars an hour.

As Commentary wrote in reaction to this jaw-dropping admission following an irresponsible act, “Good intentions have always inoculated the left against criticisms of the consequences of their policy preferences.” This has become a culture-wide, self-destructive malady during the Obama administration, led by the President. Lately, Obama has become increasingly open about it, as when the President killed the Keystone pipeline citing climate change concerns while admitting that doing so would have no likely effect on climate change, but most of his “signature policies” are similar. The Iran deal bids fair to leave Israel as a smoldering wasteland, and the Iranian government has gone out of its way to demonstrate that it cannot be trusted while already violating, as even Obama admits, the “spirit” of the deal, but God Bless Obama for trying to restrain its nuclear ambitions.

The Affordable Care Act is failing in virtually every respect, fulfilling most of the dire predictions of its opponents, but this is still an “achievement” because, and it’s true, more Americans are insured than before. Obama’s Education Department’s sincere—I’ve no doubt about it—effort to make women feel supported and safe on college campuses seeded extensive due process abuse and discrimination against male students, and the most-gender divided campus community since the Seventies. His civil rights policies and rhetoric have created the worst racial divide since the early 1960’s. The intentions in all of these cases were, at least arguably, impeccable and admirable, and apparently for committed progressives, it is that, and not that the policies in pursuit of Panglossian goals have been societally disastrous, that matters.

The mass insanity of raising the minimum wage is the apotheosis of this mania. Note that I am trying to attribute the best possible motives with this: I have read many conservative writers who believe that the left knows the policy will be catastrophic economically, but because it will be politically useful in the short-term, they don’t care about the long-range consequences. Admittedly, statements like Brown’s makes this difficult for me not to agree with them, except that it is usually considered stupid to tell voters that what you are doing makes no sense.

To state what should be obvious, if  large minimum wage increases don’t make sense economically, that means they are bad policy, incompetent, and thus unethical. And we know–know—that they do not make sense economically.

Here’s economist Robert Samuelson: Continue reading

Three Strong Links: NCAA Cheating, Minimum Wage Delusions, Journalism Standards and Teammate Betrayal

three-links

Here are three essays on current ethics issues, all worth reading and pondering.

1. At Slate, the topic is what constitutes legitimate news, and consequentialism: if a news source publishing non-news creates a real news event because of that publication, does this justify the original publication?

No, of course not. The incident in question involves a gossip site that posted a video shoing Los Angeles Laker Nick Young admitting to cheating on his fiancée, pop star Iggy Azalea. The video was surreptitiously recorded by Young’s teammate, D’Angelo Russell, and now the Lakers are shunning Russell, causing a problem for the team on and off the court. Now is the video newsworthy. Yes, but yecchhh.

The story is here.

2. Commentary discusses the strange trend of liberal legislators pushing extreme minimum wage increases on their cities and states despite risks of serious job losses. California is the latest example. Here is the head exploding quote:

“Why shouldn’t we in fact accept job loss?” asks New School economics and urban policy professor David Howell, who’s about to publish a white paper on the subject. “What’s so bad about getting rid of crappy jobs, forcing employers to upgrade, and having a serious program to compensate anyone who is in the slightest way harmed by that?”

Kaboom. Continue reading

Ethics Quiz: A Minimum Wage Lecture Instead Of A Tip?

Diners and bar patrons in Seattle are apparently registering their displeasure over the city’s whopping minimum wage hike (to $15 an hour) by leaving this card instead of a tip:

why-i-dont-tip-in-seattle

Your Ethics Alarms Ethics Quiz:

Is this an ethical protest?

My view?  There are minimum wage employees in bars and restaurants, but waiters and bartenders often aren’t among them. In the case of the bartender who publicized this patron’s printed rant, we learn, he is not a beneficiary of the minimum wage increase, and his livelihood depends on tips.

A tip, as Ethics Alarms has stated before, should be based on quality of service. To withhold a tip from a server or bartender—which should be message about service—to register an objection regarding the city’s wage statutes is neither logical nor just. Among the card’s three options, the first is completely reasonable, the second is a necessary consequence of living in a democracy, and the third is just behaving like a jerk. I bet the guy that left this card kicks his dog after a bad day too.

___________________

Pointer: Fred

The Dishonest And Irresponsible Minimum Wage Issue.

Good bye. I know when I'm licked...

Good bye. I know when I’m licked…

I heard Bernie Sanders make another one of his economically-deranged statements as the crowd cheered, this one about how no American should work 40 hours a week and not have enough to live on. Then I went to the local Baskin-Robbins.

I ordered a single scoop of Chocolate Mousse Royale in a waffle cone. The cost was…$4.68.

For a single-scoop ice cream cone.

I will not go back to Baskin-Robbins again, which means I may have had my last ice cream cone. I also cannot believe that the company can continue selling ice cream cones at such absurd prices. When I worked for Baskin-Robbins as a summer job, a single-scoop cone cost $.29, and no, dinosaurs were not roaming the earth. I was paid the minimum wage, because a moron can do that job and you get to eat all the ice cream you want (within limits, which I thoroughly explored.)

Like most minimum wage jobs, scooping ice cream is overwhelmingly one filled by the young, who do not need a living wage, or those who have no skills or experience whatsoever and need to develop some. When the minimum wage goes up, companies eliminate jobs, and when it goes  up too much too fast, whole occupations and companies disappear. This isn’t capitalist propaganda: it’s true. Most of the jobs that disappear are those that make life a little more pleasant for those not doing them, like pumping gas, ushering in movie theaters, operating elevators, waiting on tables, and scooping ice cream, jobs that can be learned in about an hour or less by anyone with an IQ hovering around 90. Continue reading