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Hospitality group raises minimum wage, eliminates tipping

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EAU CLAIRE, Wis. (AP) — Owners of a group of restaurants, hotels, and bars in Eau Claire have eliminated tipping and have raised their minimum wage to $16 an hour.

The Pablo Group says it's following a trend that aims to improve pay equity for all employees. According to the U.S. Department of Labor, Wisconsin's hourly wage for tipped workers is $2.33.

Pablo Group owns six bars, hotels, and coffee shops in downtown Eau Claire. The owners say its pricing will be adjusted to accommodate the higher wages.

Pablo Group hospitality director Rita Dorsey the change follows a trend already happening in Madison and in Minneapolis.