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| For Immediate Release |
Contact: Rob Gifford
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February 8, 2010
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517/482-5244 |
MRA Challenges Accuracy & Intent of Restaurant Opportunity Center Report
LANSING, Mich. – The Michigan Restaurant Association (MRA) today dismissed a new report on jobs in the state’s restaurant industry as “fundamentally flawed and riddled with inaccuracies.”
The report was issued by the Restaurant Opportunities Center (ROC), a nonprofit organization founded, funded and organized by the Hotel Employees and Restaurant Employees (HERE) union. Its goal is to organize the 99 percent of the restaurant industry which is non-union.
Michigan Restaurant Association President and CEO Rob Gifford called the report a “cut and paste reproduction” of a 2005 report issued in New York City and challenged the report’s accuracy on industry economics, workplace safety, opportunities for minorities, and state wage laws.
Economics – The report wrongly refers to Michigan’s “vibrant, resilient, and growing restaurant industry.” The reality is that, according to data from the Michigan Department of Treasury, for the fiscal year ending September 30th sales at Michigan’s restaurants declined by 3.5%. (Source, Office of Revenue and Tax Analysis, Michigan Department of Treasury) A new report also indicates the state likely lost more than 200 restaurants last year. (Source: NPD Group)
Workplace Safety – The report wrongly refers to the restaurant industry as having a poor track record on workplace safety issues. The reality is that, for each of the last five years, the rate of occupational injuries and illnesses in restaurants has been below the statewide average for other industries (Source: MIOSHA)
Opportunities for Minorities – The report wrongly states the restaurant industry maintains “occupational segregation and discrimination.” The reality is that the restaurant industry employs more minority managers than any other industry. In just five years, the number of women-owned restaurants increased by 28 percent; the number of African-American-owned restaurants increased by 77 percent; and the number of Hispanic-owned restaurants increased by 30 percent. The restaurant industry is proud of its unparalleled record of opportunity. (Source: National Restaurant Association)
State Wage Laws – The report mistakenly asserts that Michigan should “raise the minimum wage for tipped workers to be closer to the minimum wage for all other workers.” In reality, the minimum wage for all workers in Michigan is the same. Employers must ensure that the combination of tips earned and voluntarily reported by employees plus the wage paid by the employer meets or exceeds the minimum wage. (Source: Michigan Minimum Wage Act)
Gifford asserted that the true intent of the report was to bolster ROC’s goal of compulsory unionism for restaurant workers. “Unions are frustrated because they have been unsuccessful in organizing restaurants. That’s because we offer good, fun, fast-paced jobs that thousands of Michigan residents are happy to have.” The MRA suggested that, instead of producing flawed reports, ROC should support the Association’s public policy goals of reducing taxes, energy costs, and food costs for restaurants. This is the surest way to further increase the levels of pay and benefits at Michigan’s restaurants.
The Michigan Restaurant Association (MRA) is the recognized leader of Michigan's hospitality industry, providing essential services to the foodservice community. Founded in 1921, the MRA represents more than 4,500 Michigan foodservice establishments. The industry plays an integral role in Michigan's economy, employing more than 423,600 people and creating more than $13.1 billion in annual sales. For more information please call 800-968-9668.
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