Should the liquor server minimum wage be raised due to COVID-19?

Interview Summary

As restaurants remain closed across the province due to public health and safety measures, employees who typically serve alcohol have had a substantial decrease in compensation due to a lack of tips. This has been a hard loss for many as the liquor server minimum wage is lower than the regular minimum wage. What options do servers have? What can employers do and what are their obligations?

Lluc Cerda, an employment lawyer and Associate at Samfiru Tumarkin LLP joins Newstalk1010’s Ryan and Jay to discuss the possible raising of the liquor server minimum wage as COVID-19 continues.

Interview Notes

Are the rules surrounding liquor minimum wage unclear or written vaguely?

There are six different minimum wages in Ontario, and one is the liquor minimum wage which is almost $2 lower than the regular minimum wage. Typically servers earn a large portion of their salary from tips. Due to the pandemic, there are fewer or no tips for servers available.

After COVID-19 ends, could the server minimum wage increase?

Currently, there has been no discussion to change or raise the server minimum wage in Ontario. It is an ongoing issue as the current liquor minimum wage has not adapted to the pandemic. As restaurants remain closed, there is no alcohol being consumed on the premises and so the liquor server wage has become obsolete. The restaurant industry which existed prior to the pandemic has completely shifted.

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Lluc Cerda on restaurant servers rights to minimum wage

Do restaurants have any choice in how they choose to compensate servers?

Restaurant owners and employers can choose to compensate their employees with more than the minimum wage. In reality, without tips staff are currently learning less than minimum wage and can look for employment elsewhere.