LANSING, Mich. — Sen. Jonathan Lindsey, R-Allen, issued the following statement after the Michigan Supreme Court’s “adopt and amend” decision, which is expected to cause layoffs and closures throughout Michigan’s restaurant industry:
“Restaurants are still struggling in the wake of the significant executive overreach during the pandemic, and now the judiciary has handed down another major setback for the industry. This decision will have far-reaching impacts and will directly lead to even higher prices, job losses and even more businesses being forced to close their doors.
“Business owners have made clear their inability to operate under these new mandates without a significant impact on their businesses or employees, and tipped workers have overwhelmingly voiced their support for the current system.
“Those praising the court decision do so under the guise of ‘people will make more money,’ however it is much more complicated than that — arbitrary mandates on higher wages will do more harm than good. Wage mandates will cause a rise in prices and likely less tips for workers — the reality is many will face a reduction in take-home pay or lose their jobs.
“I believe tipped workers should be able to keep more of what they earn. Instead of this heavy-handed mandate, I support proposals to federally eliminate taxes on tips and have drafted legislation to do the same in Michigan. This would raise wages for employees without overburdening or further driving up costs for Michigan’s businesses.
“We need to focus more on solutions that make the employees better off by allowing them to keep more of what they earn — my solution is centered around the government taking less.
“I call on my colleagues to return to Lansing as soon as possible to find a solution to this significant blow to one of Michigan’s most important industries.”
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