Horsford Unveils TIP Improvement Act: Legislation Crafted by Workers, for Workers

“Too often, politicians measure the economy by stock prices or corporate profits,” said Rep. Horsford. “But the true state of the economy is reflected in the paychecks of working families. When tips drop, paychecks shrink and families feel it immediately. Tipped workers are the first to experience economic downturns and the last to recover, yet too many are still forced to survive on unpredictable income under outdated wage laws like the subminimum wage. The TIP Improvement Act was written with workers – not lobbyists or special interests – at the table. It protects tips, strengthens wage standards, and ensures tax relief goes directly to the servers, bartenders, hotel staff, and service workers who show up every day to keep our economy moving.”

“Culinary Union members are living what we call the ‘Trump Slump’ - fewer visitors, less hours, and smaller paychecks, and no one feels that more than the servers, bartenders, and hospitality workers who keep this city running. Workers need real relief admits all this economic chaos,” said Ted Pappageorge, Secretary-Treasurer for the Culinary Union. “Tips aren’t charity and they’re not guaranteed. They’re earned through late shifts and time away from family, and when tips go down, rent, groceries, childcare, and the power bill don’t. When ‘No Taxes on Tips’ was announced, workers were skeptical and they were right to be. The tax credit that passed in the Big Ugly Bill was temporary and full of loopholes. It didn’t fully address automatic gratuities, it had a marriage penalty, and it left too many workers unsure if they could even use it. Laws that are supposed to help workers shouldn’t be so complicated or limited that working families are left out. That’s why we’re backing Congressman Steven Horsford and the TIP Improvement Act. This bill came from workers, Culinary and Bartenders Union members, not from lobbyists. It makes tax relief permanent, ends the outdated sub-minimum tipped wage, fixes the marriage penalty, and makes sure automatic gratuities count as tips. Congressman Horsford has been on our picket lines, in negotiations with companies and the IRS, and we know he’s fighting for workers, not billionaires. The TIP Improvement Act is how we turn the promise of ‘No Tax on Tips’ into real, lasting relief that working families can feel in their paychecks and we urge Congress to pass it into law.”