Nevada’s Struggling Economy Is a Wild Card in the Presidential Race

NY Times   ·   Link to Article

Nearly 35,000 members of Culinary Workers Union Local 226 and Bartenders Union Local 165, a powerful base for Democrats, authorized a strike last fall, but last-minute negotiations with the three major resorts — Caesars Entertainment, MGM Resorts International and Wynn Resorts — averted a walkout. By the end of the five-year contract they ultimately secured, most workers will be paid at least $35 an hour.

This summer, a major issue among workers here has aligned with a catchphrase on the campaign trail: No taxes on tips.

Ted Pappageorge, the head of Local 226, which has endorsed Ms. Harris, said eliminating taxes on tips was a good policy only if combined with getting rid of the federal sub-minimum wage for tipped workers — $2.13 an hour.

“Ending taxes on tips for service and hospitality workers would significantly help millions of workers provide for their families, including in Nevada,” Mr. Pappageorge said.

Ms. Franco, the Bellagio room service employee, said she was taxed per hour on the tips she made.

“Sometimes we’re getting taxed for something we don’t make,” said Ms. Franco, 51, a member of the Culinary Union who earns $17 an hour. “If you have a slow day at work, you’re still getting taxed.”

Nixing taxes on her tips, she said, would “make a world of difference.”

Ms. Franco said that she supported Ms. Harris and didn’t blame the current administration for her state’s economic struggles.

“It happens all the time — every few years we go through inflation,” she said. “I feel like it was going to happen anyway. We just didn’t know when.”

 
 

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