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But that doesn’t explain why their comp is fixed at the minimum wage of $15/hr This article is a year old.

jandrese 7y ago
Because strip club owners are mostly assholes? They're going to take as much as they think they can get away with, which is probably a lot.
- ShteiLoups 7y ago
  And if they can't get away with it, I suppose they'll have to raise wages to attract entertainers. Oh look, a free market!
  - 4ntonius8lock 7y ago
    Nah, once that happens we get news pieces on 'labor shortages'. I'm a capitalist. But I recognize that the difference between theory and reality is that in theory there is no difference. The reality is the strippers have as much leverage as the other side doesn't (that's the hole concept of leverage). Club owners have the leverage of the cost of setting up a great club, and local regulations. This then translates to: the more strip clubs in a city, the more they will have to compete. That is, if they aren't colluding * Which is a lot easier when the people controlling that side of the supply equation are likely less than a dozen sophisticated guys in a city (who tend to all know each other). While the supply of labor is likely in the 1000s or 10,000s (and mostly not-so-sophisticated and can't all know each other) https://fortune.com/2015/09/03/koh-anti-poach-order/ https://fortune.com/2015/09/03/koh-anti-poach-order/
    - jandrese 7y ago
      Nearly all of the clubs were owned by the same guy.
  - deleted 7y ago
    [deleted]
CydeWeys 7y ago
That's not at all uncommon for jobs that make a lot of money in tips. The minimum wage for servers is $2-something, for example. Even more so than servers, strippers are a tip-based job.
- mikeryan 7y ago
  Not sure why you’re downvoted except in CA there’s no minimum wage exemption for servers. At least not when I was one.
- rolltiide 7y ago
  I’ve heard anecdotally (from strippers wanting tips) that their tip based comp has gone down. Like what they get to keep from dances and private rooms had been cut in conjunction with the reclassification
TheRealDunkirk 7y ago
Didn't notice that. This is a perfect opportunity to see how it's worked out in practice. How's business going for this 10-of-12-strip-clubs-in-the-city company?

Because strip club owners are mostly assholes? They're going to take as much as they think they can get away with, which is probably a lot.

ShteiLoups 7y ago
And if they can't get away with it, I suppose they'll have to raise wages to attract entertainers. Oh look, a free market!
- 4ntonius8lock 7y ago
  Nah, once that happens we get news pieces on 'labor shortages'. I'm a capitalist. But I recognize that the difference between theory and reality is that in theory there is no difference. The reality is the strippers have as much leverage as the other side doesn't (that's the hole concept of leverage). Club owners have the leverage of the cost of setting up a great club, and local regulations. This then translates to: the more strip clubs in a city, the more they will have to compete. That is, if they aren't colluding * Which is a lot easier when the people controlling that side of the supply equation are likely less than a dozen sophisticated guys in a city (who tend to all know each other). While the supply of labor is likely in the 1000s or 10,000s (and mostly not-so-sophisticated and can't all know each other) https://fortune.com/2015/09/03/koh-anti-poach-order/ https://fortune.com/2015/09/03/koh-anti-poach-order/
  - jandrese 7y ago
    Nearly all of the clubs were owned by the same guy.
- deleted 7y ago
  [deleted]

CydeWeys 7y ago

That's not at all uncommon for jobs that make a lot of money in tips. The minimum wage for servers is $2-something, for example. Even more so than servers, strippers are a tip-based job.

mikeryan 7y ago
Not sure why you’re downvoted except in CA there’s no minimum wage exemption for servers. At least not when I was one.
rolltiide 7y ago
I’ve heard anecdotally (from strippers wanting tips) that their tip based comp has gone down. Like what they get to keep from dances and private rooms had been cut in conjunction with the reclassification

TheRealDunkirk 7y ago

Didn't notice that. This is a perfect opportunity to see how it's worked out in practice. How's business going for this 10-of-12-strip-clubs-in-the-city company?