New Data Show Initiative 82 Driving Up Costs, Shrinking Tips, and Keeping Diners Away

One in three diners is dining out less; Washington, D.C., ranks 50th out of 51 in tipping nationwide.

WASHINGTON (June 30, 2025) — One in three DC voters is dining out less since Initiative 82 passed, according to a new poll, signaling a shift in diner behavior that is hurting workers, diners, and restaurants.

Newly released data from Cygnal, a nationally renowned public opinion research firm, show that a third of likely DC voters (33.4%) are dining out less since Initiative 82 was implemented. In addition, more than half of the respondents (51.5%) observed higher menu prices, and more than half (56%) have seen additional service charges.

At the same time, tipping in the District has dropped to near the bottom nationally. New data from Toast, a restaurant digital platform, places DC as the second least generous place in the country for tipping (17.5%) — ahead only of California (17.3%). The District’s average tip has dropped since Initiative 82 began phasing in, while Maryland (19.4%) and Virginia (19.3%) continue to see stronger tipping rates.

“All the data points paint the same dire picture,” said Shawn Townsend, President and CEO of the Restaurant Association of Metropolitan Washington. “Initiative 82 was sold as a way to support workers, but now those same workers are earning less in tips while restaurants are forced to charge more to stay afloat, which is driving diners away. Without diners, restaurants can’t stay open, and workers lose their jobs. That’s not acceptable. We want restaurants to survive and we want workers to thrive, leaving every shift with more in their pockets. That’s why it’s time for the DC Council to repeal Initiative 82.”

Initiative 82, which passed in 2022, eliminated the tip credit, significantly raising labor costs for restaurants with tipped workers. To stay afloat, many restaurants have had to raise menu prices and add service fees, which has turned diners away. With lower revenue and higher labor costs, restaurants are forced to reduce hours, cut staff, or close altogether.

For more information, go to SaveDCRestaurants.org. 

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About Restaurant Association of Metropolitan Washington (RAMW) 

The Restaurant Association of Metropolitan Washington (RAMW) is the regional trade association representing restaurants and the foodservice industry in the Washington, DC Metropolitan Area. Established in 1920, RAMW is an advocate, resource and community for its members. The Association works to promote and sustain the growth and development of the industry while providing its members legislative and regulatory representation, marketing and small business support, programming and events. RAMW strives to serve its members with professionalism and integrity, and provide them the training, education, and support they need to grow a successful business.