Advocacy in Action | December 18, 2025
Minimum Wage: 2026 Update
Beginning on January 1, 2026, Connecticut’s minimum wage will increase from the current rate of $16.35 per hour to $16.94 per hour.
On January 1, 2026:
- Minimum wage will increase to $16.94 per hour
- Server tip credit remains at $6.38 per hour
- Bartender tip credit remains at $8.23 per hour
As a result of our advocacy efforts in 2019, the Connecticut Restaurant Association successfully lead the freezing and decoupling of the tip credit from minimum wage. For this reason, the server wage and bartender wage stay the same, even as minimum wage goes up. For more information or questions on minimum wage, cash wage for tipped employees, tip credit and more, email us at info@ctrestaurant.org.
A reminder that the Mandatory Order No.8 poster must be displayed in all foodservice businesses where employees can read. The Order states minimum fair wage rates for persons employed in the restaurant and hotel restaurant occupations. For restaurants with tipped employees, note the definition of "Service Employees" and the 23 duties incidental to such service.
United Partnership Agreement
Under the UPA (United Partnership Agreement), the National Restaurant Association (NRA) identifies key legislative priorities for the coming year. The Connecticut Restaurant Association actively collaborates with National throughout the year, creating a partnership which strengthens our collective voice, amplifies grassroots activations, and ensures that state and national efforts are aligned.
The UPA Advocacy Advisory Council met agreed that the 2026 priorities will be as follows:
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Swipe Fee Reform: Continue advancing federal legislation to introduce competition in the interchange space, ultimately lowering swipe fees for the restaurant industry.
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Immigration Reform: Advocate for legislation that protects our existing immigrant workforce, fixes the nation’s work visa system, and builds a modern, sustainable immigration framework for the future.
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US/Mexico/Canada Trade Agreement (USMCA): Ahead of the July 2026 meeting of US, Mexico, and Canada trade ministers to assess the USMCA, we aim to ensure the United States does not pursue increases in tariffs with these key agricultural trading partners.
Through the UPA, the NRA and SRAs work hand-in-hand to shape policies that benefit the restaurant industry nationwide.
Penny Shortage: Update
The National Restaurant Association has released new resources addressing the penny shortage spreading across the country. To solve the shortage and manage long-term issues related to no new pennies entering circulation, the Association is working on three solutions:
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Get the Administration and the Fed to work together to get pennies circulating again
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Work with Congress to pass legislation that would set national rules for rounding when pennies aren’t available and create a safe harbor that would protect restaurants from legal action because they’re forced to round
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Urge the Treasury to issue temporary rounding rules while we work with Congress on this legislation to help cut friction between business owners and customers, especially during the holiday shopping season.
The National Restaurant Association also sent letters to the Treasury and Fed about the issue.
Restaurants Act Public Affairs Conference
March 10-12, 2025
Washington, D.C.
More Information
The CRA supports you on a local, state and national level. Each year, we represent Connecticut at the Restaurants Act Public Affairs Conference. The Conference is the restaurant industry’s largest grassroots advocacy event, bringing operators together to influence policy and protect the future of foodservice.
We travel to Washington, D.C. to meet with our federal delegates to discuss federal issues such as immigration, tax initiatives and more. Our objective is to meet with stakeholders who has a say in our industry, as well as meet with our peers from across America.
If you are interested in being part of this year's conference, please email Yvette attavares@ctrestaurant.org.
Work Opportunity Tax Credit Act
The National Restaurant Association joined a broad coalition urging Congress to swiftly pass S. 3265/H.R. 6231, the Improve and Enhance the Work Opportunity Tax Credit Act (WOTC) before it expires at year’s end.
WOTC has helped employers hire individuals facing barriers to work for three decades. Its expiration could raise employer costs and eliminate an estimated 131,000 jobs annually, according to an analysis.
The bill includes:
- Five-year extension of WOTC
- Increase credit from 40% to 50% of qualified wages
- Index for inflation
- Additional credit tier for employees working 400+ hours
- Expand eligibility to include spouses of active-duty military personnel
Enhancing WOTC would strengthen hiring pipelines for veterans, military spouses, SNAP recipients, individuals with disabilities, second-chance workers, and the long-term unemployed. The restaurant industry has job opportunities ideal for helping many of these individuals find lasting employment.
Employer-Provided Meals
Beginning January 1, 2026, most employer-provided meals will no longer be deductible for federal income tax purposes under IRC Section 274, unless the cost is treated as employee compensation or meets a specific exception. Restaurants have a specific exception under the "One Big Beautiful Bill Act" (OBBBA). They can continue to deduct 100% of the cost of food and beverages provided to their employees on-site as part of their normal business operations, as these are considered part of the cost of goods sold.