Tax-exempt tips for restaurant workers?

The debate around tax-exemption is heating up, and so are kitchens throughout the country. And cyberscams are alive and well, forcing a NYC icon to file for bankruptcy.

It's time to pull up a chair for today's edition of The Prep.

On the menu:

💠 The proposed 'no tax on tips' law
💠 How heat waves affect restaurant kitchens
💠 Industry plant-based protein highlights

Will "No Tax on Tips" improve wages for restaurant workers?

Proposed legislation authored by Sen. Ted Cruz (R-Texas) calls for tax exemption for tips, which would impact restaurant workers' take-home pay on a nationwide scale. Proponents argue it will help ease financial strain on low-wage earners. Critics, however, warn that this could complicate tax enforcement. (Nation's Restaurant News)

Kitchen workers battle dangerous heat in restaurants

 The record-breaking heat waves in the US are causing unsafe conditions in some restaurant kitchens, with temperatures reportedly exceeding 110°F in some locations.  Workers in states like Florida and cities like Las Vegas are experiencing heat-related illnesses due to inadequate ventilation and air conditioning. Restaurant industry labor organizers say they expect more food service workers to organize and bargain around heat in coming years. (Good Men Project)

“We are hardwired for self-preservation, but flipping that mode on its head is what facilitates that manager-to-leader transformation. Every decision you make must be good for you, for the other person, and it must be good for guests and your community” - Donald Burns 

Donald Burns, founder of Warrior Restaurants and author of the Your Restaurant Sucks trilogy, shares actionable tips to help restaurant owners focus on what really matters - transforming their mindset from a manager to a true leader. (The Restaurant Coach)

💠 Chef Bobby Flay's new Charlotte venture

💠 Emerging plant-based chicken innovations

💠 Far & East's wine wins big at restaurant awards

💠 Swiggy launches new data tool for restaurant success

38

percent of restaurants that unify in-store and digital ordering on POS systems. (PYMNTS)

What we're reading: A Season for That recounts Steve Hoffman's journey from Minnesota to a small French village, exploring how immersing himself in local food and wine traditions transformed his understanding of French culture and cuisine.

Who we're following: LA Times food critic @Bill_Addison on Instagram for his stunning close-up photographs that consistently capture the essence of modern cuisine.

Plus: A look inside Hollywood's historic Yamashiro restaurant's proposed $100 million sale.

Thank you for reading The Prep.

We bring you the latest news, trends, business tips and analysis for aspirational independent restaurants. Have a story idea or a business you think we should spotlight? Contact us. Interested in advertising, contact our advertising department.

If you'd like to read more, check out our Hidden Menu exclusives.