27-02-2025
Trolling, attacks and name-calling: Inside the restaurant wage fight
One-star Google reviews, boycotts and harassing phone calls: This is what Denver restaurants are experiencing as a result of their support for legislation that allows reduced wages for tipped workers in certain localities.
Why it matters: The vitriolic atmosphere surrounding House Bill 1208 is unlike any political battle at the state Capitol in recent years and is poised to leave an embattled restaurant industry even more bruised.
State of play: The aggressive opposition is led by the local chapter of the far-left Working Families Party, labor unions and the national advocacy group One Fair Wage.
Through online campaigning, the organizations are focusing the debate on cutting wages of tipped workers, which is a possibility under the legislation.
Opponents are targeting restaurants and breweries that testified or spoke in favor of the bill with bad reviews online that tell others to not visit.
What they're saying: The effort is being compared to a "jihad" by one supporter, and the Colorado Restaurant Association called the trolling tactics "disgusting."
"I've not seen it this bad, ever," the association's CEO, Sonia Riggs, tells Axios.
The other side: Saru Jayaraman, president of One Fair Wage, tells us that she can't believe lawmakers are "cruel enough or stupid enough" to reduce worker pay at a time when Denver is becoming less affordable.
"Most tipped workers in Denver and Colorado are struggling to make ends meet," she said, noting that many of these workers are women and lower-income earners.
How it works: In Colorado, employers can pay tipped employees a wage of $3.02 an hour less than the minimum in law only if tips get them to the minimum wage. All employees must make at least the state minimum wage of $14.81 per hour.
The legislation — which would only apply to the handful of counties and municipalities with minimum wage rates greater than the state level — would allow restaurant owners to lower the base minimum wage for tipped workers.
Supporters say this is necessary to help struggling restaurants stay afloat amid a wave of closures.
The other localities affected are the city and county of Boulder and Edgewater.
By the numbers: The minimum wage for tipped workers in Denver would drop $4 from $15.79 to $11.79. But all employees must still make at least the $18.81 minimum wage if tips aren't sufficient.
A full-time employee could make $640 less a month, according to critics. But the reduction could also save the city's restaurant owners more than $50,000 a year, supporters say.
The big picture: The legislation is driving a deep wedge between the Democratic Party and the restaurant industry with supporters and opponents on both sides.
In Denver, where the minimum wage is the eighth-highest among states and localities in the nation, Mayor Mike Johnston supports the measure while city council members and the auditor are opposed.
Johnston recently floated the idea of a 20% surcharge to help restaurant employees.
The bottom line: The legislation recently survived its first test — an 11-2 committee vote with two Democrats in opposition. But its future is murky as the opposition accelerates and lawmakers look for a compromise deal.
