Those below the minimum wage are exempt workers such as waiters because they earn tips, and I guarantee you that their real income (on average) is much higher t

Those below the minimum wage are exempt workers such as waiters because they earn tips, and I guarantee you that their real income (on average) is much higher than minimum wage, but data is hard to come by as much of that income is unreported. Thus the 2% figure is a generous over-estimate.