The pressure to tip bothers Quebecers, particularly in restaurants, according to Simon Jolin-Barrette, Minister responsible for Consumer Protection.
Last week, the Legault government tabled Bill 72 to include tips before calculating taxes. The reasoning is very logical: consumers should not have to pay for service on taxes. We can talk about fairness and justice for consumers, but what about restaurant employees? Who protects them from the harmful effects of inflation that has been stifling the industry for four years?
In fact, since the end of the pandemic, the Legault government has abandoned restaurateurs and their employees.
As we know, the COVID-19 pandemic has had a major impact on the sector, particularly with the many health measures. Closures have followed one after another, and many employees have decided to change industries. Those who have stayed have been worn down to the bone.
I myself started working in the restaurant industry around this time. Since I was still living with my parents, I didn’t worry too much about money or benefits. The pandemic recovery coincided with my coming of age, and I saw first-hand the long-term devastation of the pandemic. The sector never really recovered: according to Restaurants Canada, a third of restaurants were still operating at a loss in 2023.
Employees share the same financial challenges as their employers. To save money, employers are often forced to reduce paid hours. Since the pandemic, 64% of restaurants have reduced their hours of operation, according to Restaurants Canada. For service staff, this significantly reduces their chances of earning a salary that keeps up with inflation. It is not uncommon for some to have to work in several establishments at once.
The hourly rate for tipped workers is currently $12.60, to which, as you will have understood, are added the tips earned. The paycheck is therefore highly variable and depends on the season, the shift, the traffic and the economic context. With inflation, workers’ incomes have become a real game of Russian roulette.
In addition to reduced hours and variable pay, very few service employees have benefits. According to the Institut de la statistique du Québec, the unionization rate was 8.7% in 2023 in the accommodation and catering sectors.
All these factors combine to accentuate the precariousness of their working conditions.
The Quebec government also fails to take into account other industry demands. This is the case of the no-showsor reservations not honored by customers. According to Martin Vézina, vice-president of public affairs for the Association restauration Québec, the no-shows cost restaurateurs an average of $47,000 per year.
For the service staff, unfulfilled reservations also represent a loss of income. Often, the number of reservations is the only proof that I am at the restaurant. And many times, ghost customers force me to go home after the mandatory three hours, without a tip.
The Legault government must provide greater protection for restaurateurs and their employees. Sanction the no-shows would be a good starting point. This measure already exists in different forms elsewhere in Canada, notably through the charging of reservation fees. In Quebec, restaurants cannot do this, which is nevertheless essential to compensate for part of the losses incurred in the event of a reservation not honored.
Other concrete solutions are suggested to help the restaurant sector. For example, Restaurants Canada proposes that the Société des alcools du Québec grant preferential rates to restaurateurs. Customers would therefore have alcohol at a better price, which could increase both the revenues of restaurateurs and the tips of workers. Isn’t that a nice compromise?
Minister Jolin-Barrette is not wrong, but these steps must be accompanied by appropriate measures to protect workers. A bill to regulate tips? Yes. Protect consumers? Of course! And forget about service staff? Certainly not.