WEN - Restaurant stocks face another headwind with Biden minimum wage plan: Alpha Tactics

The combination of a raised minimum wage and elimination of a tip credit for servers could be another blow to the low-margin restaurant industry reeling from COVID-19. But publicly traded restaurants showed no sign concern, even as President Joe Biden signed an executive order directing the Office of Personnel Management to develop recommendations to increase the minimum wage for federal employees and contractors to $15 per hour.The vast majority of the stocks posted gains for the week.Biden's move was a first step in a push to increase the overall federal minimum wage, which covers most American workers, up to $15/hour from $7.25/hour, where it has stayed since July 2009. That hike is part of Biden’s $1.9T COVID-19 relief plan.Along with the boost in minimum wage, the new administration would eliminate the tip credit, which allows tipped service workers to be paid below minimum wage, as long as the minimum wage is

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Restaurant stocks face another headwind with Biden minimum wage plan: Alpha Tactics