>> Tomorrow city council members are set to vote on a compromise measure that would delay the phase out of the city's tipped minimum wage in March, Alder People had voted to block the phase out altogether after restaurant owners pushed back citing rising costs.

Mayor Brandon Johnson vetoed that measure, but it is not clear whether he will allow this new proposal to become law.

The plan would add 2 years for restaurants to pay full minimum wage for tipped workers.

But that means employees won't be getting a city ordered pay bump as previously scheduled this summer or next.

Joining us, our Cristina Gonzalez, member of the Illinois Restaurant Association and co-owner of this come out, his restaurant.

And Richard Rodriguez, state director for Illinois Service Workers United and he is with the one fair Wage campaign.

Thanks to you both for joining us.

Thank you for having so Kristina.

Let's start with sort of laying out what this proposal is tipped.

Workers would not receive the previously mandated raise until July first 2028 restaurants with more than 21 employees have to pay 100% of tipped worker wages by 2030.

And we should note the minimum wage 16, 60 $16.60 an hour and restaurants with more than 3 and fewer than 21 employees.

They would have until 2033 to reach that 100% pay level for their tipped workers as a restaurant owner.

Christina, what are your biggest concerns with this potential agreement?

I think my biggest concerns here the ecosystem, the very delicate ecosystem that we have as a restaurant industry with our customers and our servers.

>> Our tip servers, but not just our tip service also are back of the House workers as well.

There's a lot more people involved here and it's not just restaurant workers.

It's also anyone else who received steps.

People aren't seeing that.

So I think my biggest concern is that we want to make sure that it's something that's fair and equitable for everyone.

And you can't have a good negotiation if it's completely one-sided.

So we want to make sure that we take care of our servers, but also take care of our customers and that ecosystem back to that is very delicate.

So we want to make sure restaurants filling their seats.

They're coming hours.

If they're having hours, people aren't getting the pay so they make it pay per hour more.

But they're not exactly getting more money in their pockets to take all.

>> Are there any ways that this proposal helps restaurants or is there anything that you favor?

I think that it is helping because it's allowing, although it's not an ideal, proposal for We feel that it is the less harmful and a little bit more equitable for restaurants to be able to withstand the rising costs of everything.

It is not just one thing, but this is huge component of it.

Again, if we have to cover the rate the raise in wages, then we have to raise tacos and burrito prices and then people will come less than they will normally if they're coming 3 to 4 times, you're going from one to 2 times.

So Richard, your organization, one for wage, will have warned, though, that this delay would cut those immediate raises, as we mentioned, for some of Chicago's lowest paid workers.

>> At a time everyone is experiencing some financial turbulence right?

>> Where does the compromise leave tipped workers?

And what's been the reaction Let me first say thank you for having us here on the air tonight and having this conversation.

Thank you.

Stand up for being here with us as well.

Really looking forward to having a conversation with you, but we're very excited.

>> That ending of the sub minimum wage is still intact.

We had this debate back in 2023. and the city council spoke very loudly at that time ending the subminimum wage was a priority.

And I'm happy that we're coming back to the same conclusion that ending this a minimum wage.

It's it's a priority.

Now answer your question, how does this affect workers?

You know, if you're hearing from restaurant owners that the affordability crisis is causing too much pain and suffering of them.

Just imagine the lowest paid workers in the city of Chicago.

There were looking forward to getting a raise down.

They're not getting a raise.

Anybody that's listening here today.

If you're guaranteed raise over the next 3 years, you probably would be very excited.

Unfortunately, servers in the restaurant industry in the city, Chicago will not be saying that.

And that's and that's getting pushed off.

Know the mayor initially vetoed if I mean getting pushed off.

That is if this passes tomorrow.

>> The mayor initially vetoed the rollback of the tipped minimum wage Phaseout.

City Council did not override it, but how do you feel about going back to the negotiating table on this.

>> Yes, so we're ready to go.

Should an agreed upon this agreement wasn't easy.

And I know we heard from service workers talking about how they were relying on the increases that are ready took place and what effect that that had in their lives the one for wage ordinance was already a huge success restaurant have been growing in the city of Chicago.

just have been going up.

Workers have been working and we're very excited that the BA CPS had great reports on those successes.

And we're hopeful that this pause would be the end of the discussion and then we're not going revisit this again in the future.

>> Kristina know the measure to do what's right and you want to respond to.

I think that it is wonderful idea that we're all negotiating in and having these conversations.

I think it is a human issue that we all need to talk about from every perspective in every facet, I'd like to thank the Alders Burnett, Villegas and Nugent for all of their tireless work and efforts that we have here.

But of course, they are doing a great job and trying to advocate for the ecosystem.

We're talking not just about one report talking about the ecosystem that we have here in the restaurant industry.

And as for restaurants opening, we have a lot of restaurant something but where also the city of Chicago track.

We lost 500 businesses in the 1st half >> of this year.

We've lost 2100 jobs in in 2025.

So when we talk about businesses opening or licenses being renewed, first of all, other to every 2 years, I think the licenses are being renewed now and the city isn't tracking like which businesses are closing.

So although you have businesses opening, that's wonderful and great that people still have an American dream.

I love that my father was that started 53 years ago.

American dream.

He is an immigrant and for he was God bless But I love that.

But the other reality is those new restaurants that are opening.

How will the stay open if they are facing all of these economic difficulties as well?

So the measure would allow restaurants with between 3 and 21 employees and gives them extra time to reach that 100% level.

Do you think that runway will that help smaller restaurants?

>> I think it does help smaller restaurants because it if you start shifting this change immediately.

But first thing that's going to happen is going to be cutbacks, layoffs.

Shuttering doors is worst case scenario.

But you're going to have so many that we're going to have cross training, whereas we've been around for 53 years.

We've you know, which trusses which us is that just waited tables are saying I can't do the POS system.

I don't know how to back in only do this.

And so to cross train.

I have to take last hours and, you know, breaks our hearts because we're there where they've known me since I was 16.

So I look at that like trying find where we can position them so that they don't lose the hours that they need.

But honestly, if I have empty seats at my restaurants, I can't continue as a small business neither can other small businesses continue to do it.

If it keeps going up.

Richard, the phase out of the tipped minimum wage, it has been underway for a couple of years now.

What are some of the benefits that tipped workers have started to experience?

Yes, immediately workers were seeing raises.

>> Right.

And what does that mean in the midst of an affordability crisis?

We're restaurants are suffering, but imagine if you're a tipped wage worker right, making less than the minimum wage Lets be frank.

The minimum wage is to look to begin with.

We should be talking about a livable wage, not just the least that we can pay workers.

But what do workers really need to be able to survive on and as a livable wage?

2, to your point, I I have to respect for hearing.

>> In the sense if the employees right now we're making an average of $29 an hour and your waitresses are doing very well with those that those tips, if we continue using the tip credit, it allows businesses.

It staff.

It allows them to maximize their earnings with their tips.

It allows businesses to hire more staff to be able to continue to serve more customers also maintaining equitable prices for their customers.

We need those customers come through the door.

We need the service to serve them.

We need businesses to stay open so that we can keep that ecosystem knowing.

Let's not forget that we are also.

With these these higher wages.

Yes, they're making more per hour.

But if they're cut their hours are cut, then we have an issue because now they're not making more take before our time.

And know you want to respond, but I also want you remind us in the 45 seconds that we've got left of the history of >> the tips worker where that comes from for especially for servers.

Yes.

So let be very clear.

The restaurant industry will not fail right like it is going to adapt.

There are 7 states that already eliminated the subminimum wage.

Most people don't recognize this is already This is not no one has repealed that 7 states have eliminated the subminimum wage for decades.

>> Decades.

Anybody that's ever traveled to California, anybody to travel to Nevada, but it's ever travel to Oregon or Minnesota 2030, years.

The subminimum wage has been eliminated right?

So the fact that the restaurant industry is not going to be able absorb the rate increases to pay workers.

A livable wage is a fallacy.

It is showing already huge success.

And we're happy that that is going stage for that.

Employees are paid 16 60 an hour if they are not.

And if they don't make that up.

>> is required by law that it is paid to them.

So they are making a minimum wage.

think the fallacy here is to call it a sub minimum wage.

That's