I was just indicating that the government considers "tips" as income.
Yes, they are income
to the waitress: it really is money and the waitress really does receive it.
But are they income that should be used as an excuse for the
employer not to pay minimum wage?
I think that if the employer wants to claim that tips are part of their wages to the employee, then they shouldn't do it by half measures:
- if the waitress receiving the tip was wages from the employer to the employee, then when the customer paid it, it was income to the business. It should be treated (and taxed) as such when the business pays its taxes.
- if the tip is wages from the employer to the employee, then the employer has an obligation to ensure that it wasn't based on anything illegal. For instance, it's generally illegal for an employer to offer a bonus to an employee if she flirts with the customers; if one employee is getting higher tips because she flirts and another isn't because she doesn't, if those tips are wages, then this becomes the employer's problem to fix.
- if the business goes bankrupt or suddenly folds, unpaid tips should be considered unpaid wages when determining what the business owes to who.