Joanna Fantozzi

🍴 In New York City, the Dining Out NYC program began accepting applications in March and closed them on August 3, receiving only 3,226 submissions from over 12,000 restaurants and bars that used the temporary outdoor dining setup during COVID-19. Approved applicants have 30 days to comply with new standards or face fines starting at $500. Outdoor dining is now standardized with options for partially covered or al fresco roadways and sidewalks, costing a $1,050 four-year license fee or $2,100 for both, plus an annual fee based on size and location. The city aims to create the largest inclusive outdoor dining program in the country.

💸 The California Supreme Court unanimously upheld Proposition 22, which classifies drivers for companies like Uber and DoorDash as contractors, not employees. The decision, confirming a previous appeals court ruling, maintains the outcome of the $200 million lobbying effort by delivery apps for the bill passed in November 2020. This follows the AB5 bill, effective January 1, 2020, which aimed to consider such drivers as employees. Critics argue this contractor status denies drivers employee benefits, while proponents cite work flexibility. The recent ruling is seen as the final say after over four years of legal battles.

🍝 U.S. Sen. Dick Durbin and Rep. Rosa DeLauro introduced legislation to establish the Federal Food Administration, transferring food safety oversight from FDA. Hazel Analytics data from 2023 shows increased food safety violations post-pandemic. In 2022, the CDC reported a rise in consumer risk to foodborne illnesses. The new agency would include FDA's current food programs and operate under the Department of Health and Human Services. The initiative aims to prevent illness and death from contaminated food.

💸 Sen. Ted Cruz and others introduced the “No Tax on Tips Act,” exempting cash tips from federal income tax starting in 2025. President Trump, at the Republican National Convention in Milwaukee, endorsed the act, citing a Nevada server's complaint about tax on tips. This act could impact restaurant industry employees, as tips comprise 71% of their minimum wage. Critics argue that about half of tipped workers don't earn enough to pay federal income taxes, and the act doesn't exempt employer payroll taxes or state taxes on tips.

📌 The National Labor Relations Board (NLRB) withdrew its appeal of a federal judge's ruling against the broadened joint employer rule in May. The rule, expanded last fall and struck down by multiple government branches, could have held franchisees and franchisors equally liable for labor terms. The NLRB still supports the legality of the rule despite the blocked appeal, which leaves the possibility of a future challenge open.

💸 One Fair Wage's initiative to raise Ohio's minimum wage to $15 and eliminate the tip credit failed to secure enough signatures for the November ballot. The constitutional amendment proposed a minimum wage increase to $12.75 by January 1, 2025, and $15 by January 1, 2026. Tip credit, which allows payment below the minimum wage to tipped workers, is a divisive issue. As of 2024, seven states and cities like Chicago and Washington, D.C., have abolished it. A survey revealed 91% of tipped workers in Ohio are satisfied with the current system.