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Red Oak Hospitality Needs Your Help! 

The Tipsy Toboggan, The Old Grist Mill Tavern & Canned Heat Craft Beer!  

 

At Red Oak Hospitality, we’re more than just a restaurant group; we’re a pillar of the local community, dedicated to enriching culture and providing exceptional dining experiences that bring people together. Our passion for food and service extends beyond our historic buildings—it’s about fostering connections and supporting our vibrant neighborhoods in our South Coast Communities.

 

Red Oak Hospitality has proudly served you with unique culinary creations and crafted libations at each of our locations. We are invested in the growth of our community and remain committed to supporting our industry, suppliers, and team. This is why we’re taking a firm stand to vote NO on Question 5 on Election Day. Our bartenders and servers do not want this change and have not asked for it; we are working to ensure their voices are heard!

 

What is Question 5?

 

Question 5 is a legislative proposal that aims to impose stricter regulations on the restaurant and hospitality industry in Massachusetts. While it may be presented as a measure to improve working conditions and wages, it introduces policies that will fundamentally alter our industry—policies that servers and bartenders have not asked for and do not want. These changes will negatively impact the very people who make your special occasions memorable, whether it’s your anniversary, birthday dinner, or weekly night out.

 

Here’s what’s at stake:

 

Impact on Tipped Workers’ Wages:

The legislation proposes increasing the hourly wage of tipped employees to the state minimum wage of $15.00.  Massachusetts law already mandates that servers earn no less than $15.00 per hour. Restaurants that operate correctly never have to worry about this, as servers typically earn well above minimum wage. If a server’s total earnings fall below the minimum due to scheduling or weather, the restaurant pays the difference. Additionally, the law would allow restaurants to implement a tip pool, requiring tips to be shared among all staff, including those who do not receive tips. Both of these measures would ultimately lead to lower wages for bartenders and servers.

 

Increased Costs:

Higher operational costs could force many small and mid-sized restaurants to cut back on staff, raise prices, or, worse, close their doors. In an industry with already razor-thin profit margins, these changes could devastate independent businesses like Red Oak Hospitality and your favorite local eateries.

 

Impact on Local Suppliers:

The ripple effect of this legislation extends beyond restaurant owners and workers. Local farms, artisans, and vendors that supply our kitchens would face reduced demand as restaurants downsize, leading to lower incomes for various businesses across the state.

 

The Negative Impact on Massachusetts' Dining Scene:

 

If Question 5 passes, it could alter the rich and diverse dining culture we’ve all come to love. From cozy neighborhood cafes to high-end restaurants, many beloved establishments would be at risk. Red Oak Hospitality has always prided itself on being a cornerstone of the community, but with new financial pressures and restrictive regulations, even we could face an uncertain future. Our customers would also face negative impacts from this bill, including:

 

Higher Costs:

To meet the new financial requirements imposed by this bill, many restaurants will be forced to increase prices for customers.

 

Longer Wait Times:

Due to increased costs, restaurants may need to reduce their workforce, leading to longer wait times and less availability.

 

Subpar Service:

When earning minimum wage, the quality of service typically declines. We start all our non-high school team members above minimum wage because we believe in maximizing their potential. Our servers and bartenders earn well above minimum wage.

 

Workforce Reductions:

Lower wages and fewer jobs from potential restaurant closures could lead many servers and bartenders to leave for opportunities in other states or exit the industry altogether.

 

Think about the last time you enjoyed an exceptional meal, supported by an attentive server or bartender. Now imagine that experience with staff who are preoccupied or distracted. What kind of service can you expect from someone paid minimum wage? “Above and beyond” is unattainable from those earning minimum wage. Question 5 threatens not only restaurant owners but also the unique flavors and experiences that make our state a culinary destination.

 

A Call to Action:

 

At Red Oak Hospitality, we believe in fair wages, employee rights, and community-driven progress. But Question 5 is not the answer. It risks damaging the fabric of our local economy and placing undue burdens on small businesses and their cherished team members. We urge you to vote NO on Question 5 this Election Day.

 

Let’s protect and preserve the restaurants and local businesses that make Massachusetts truly special. Together, we can continue to thrive without sacrificing the quality and diversity of our dining experiences.

 

Open your eyes to the reality and join us in standing up for our community. Stop by your favorite restaurant and ask questions. We will happily provide information and perspective on why you should vote NO on Question 5 to ensure a future where Red Oak Hospitality, and all local restaurants, can continue to serve YOU!

Know the FACTS to fight the LIES:

  • Washington, DC implemented this policy late last year. In the first nine months, over 10% of tipped employees have either been laid off or left the industry due to lower take home pay and closures. If this proposal were to pass in Massachusetts, some bars and restaurants simply will not survive.

  • According to an industry analysis performed by Toast, California (one of the few states where this policy has been implemented) consistently has the lowest tip average among all 50 states. 

  • Cornell University has released a study that found states with higher tipped minimum wages see lower average tip percentages in restaurants.

  • Out of state activists are saying that there is a ‘sub-minimum wage’ here in Massachusetts. This is a lie. EVERY worker in Massachusetts is already guaranteed to earn at least the current minimum wage of $15 including tipped employees. 

 

A restaurant owner can employ more than two full time waitstaff employees for the same hourly rate as one minimum wage employee.  This is a win for the tipped employee because they are the highest compensated employees in the restaurant. It’s a win for the guest who is getting a full-service experience, and a win for the restaurant operator who gets to employ as many people as possible to ensure the operation runs smoothly.

What are the risks to restaurants if this passes?

  • Eliminating the tip credit will lead to increased menu prices and/or service charges for customers. This will undoubtedly lead to fewer people going out and push restaurants to a non-service model. If this proposal were to pass in Massachusetts, some bars and restaurants simply will not survive.

  • Deciding where to distribute tips among staff with different responsibilities operating in different areas of a restaurant is inherently subjective and leads to resentment and dissatisfaction among the staff. It also poses significant issues that will inevitably lead to legal action and lawsuits.

  • Tipped employees choose to work in the restaurant industry. A move toward tip pooling would encourage experienced servers to leave the industry in search of higher individual earnings.

Vote NO on the Tip Pooling Ballot Question because tipped employees have made it abundantly clear that the current tipping system is not broken and does not need to be changed!

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