State of Tipped Workers - ARIZONA

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State of Tipped Workers - ARIZONA

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SERVERS
BUSSERS, RUNNERS, &
BARTENDER ASSISTANTS
BARTENDERS
The state minimum wage is $7.90,
but the tipped minimum wage is even
lower at only $4.90. The minimum wage
increases annually with inflation due to a
voter supported ballot initiative. However,
including tips, tipped workers in Arizona
earn a median wage of only $9.15 —
equivalent to $19,032 for a full-time
year-round employee. Tipped workers
generally are allowed part-time schedules
that vary by season. Seven states have
eliminated the tipped minimum wage —
in those states tipped workers receive the
full minimum wage.
The Rising American Electorate refers to the
demographic groups that are growing the
most rapidly, historically with lower voter
participation rates, but whose growing civic
engagement has been crucial in tipping the
scales in recent elections. Tipped workers
are primarily women, nearly 40% are moms,
and although many are married, half of these
are single moms. Although the median age for
tipped workers is 30, half of them are younger.
And they are racially diverse, overrepresented
by Latinos, Asians, and African Americans
compared to the broader workforce.
They are also a highly educated group.
Tipped workers are a snapshot of the RAE.
TIPPED WORKERS AND THE RISING AMERICAN ELECTORATE
THE STATE
OF TIPPED
WORKERS
In Arizona there are nearly 114,000 tipped
workers, and 62% of these work in the
restaurant industry. The restaurant industry
employs nearly 10% of the workforce and
is one of the fastest growing sectors of the
US economy. Unfortunately, the restaurant
industry offers several of Arizona’s lowest paid
jobs. Five of the ten lowest paid occupations
are in the restaurant industry, and three of
these are tipped occupations.
3 LOWEST PAID
TIPPED OCCUPATIONS
TIPPED
MINIMUM WAGE
$4.90
MINIMUM WAGE
$7.90
MEDIAN WAGE FOR
TIPPED WORKERS
INCLUDING TIPS
$9.15
GENDER
64%
3
6
%
www.rocunited.org
TIPPED WORKERS WHO
WORK IN RESTAURANTS
62%
Restaurant Opportunities Centers United
ARI ZONA
In states with a tipped minimum wage of $2.13,
the poverty rates for workers of color is nearly
double that of the seven states without a tipped
minimum wage, with one in four living in poverty.
WHITE PEOPLE OF COLOR ALL
POVERTY RATES IN $2.13 STATES
16% 25% 20%
POVERTY RATES IN STATES WITH NO TIP CREDIT
13% 14% 14%
TIPPED WORKERS AND THE RISING AMERICAN ELECTORATE
White 61%
Latino 35%
Asian 6%
Black 4%
Other 4%
<_
24 33%
25-34 28%
35-44 14%
45+ 25%
RACE
AGE
HIGHER EDUCATION
EDUCATION
PARENTS WITH CHILDREN
ON FREE LUNCHES
43%
MARITAL &
PARENTAL
STATUS
48
%
Married 28%
Parents 29%
Dads 18%
Moms 35%
Single Moms 17%
P
O
V
E
R
T
Y
Tipped restaurant
workers live
in poverty at
2X the rate of
the Arizona
workforce.
RAISE THE MINIMUM WAGE
Living off tips is precarious, but it doesn’t have
to be this way. Raising the minimum wage and
eliminating the tipped credit would provide
a significant stimulus to the U.S. economy in
tipped wages alone, providing a boost to local
economies and the broader food industry, as well.
FOR MORE INFO rocunited.org/stateoftippedworkers/
The industry projects employment will continue
to grow at the rate of 16% over the next decade.
H
INDUSTRY PROJECTED SALES 2014

11 BILLION
B
I
L
L
I
O
N
I
N
D
U
S
T
R
Y

G
R
O
W
T
H
56%
P
O
V
E
R
TY
R
A
T
E
P
O
V
E
R
TY
R
A
T
E
T
I
P
P
E
D

R
E
S
T
A
URA
N
T

W
O
R
K
E
R
S
T
I
P
P
E
D

WO
R
K
E
R
S
23
%
21
%
WORKERS ON
FOOD STAMPS
2X REST OF AZ
WORKFORCE
20%
30
MEDIAN AGE
of tipped
worker moms
are single moms
MINIMIM
WAGE
$10.10
$12.00
$15.00
TIPPED
STIMULUS
$12.7
$19.4
$30.1

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