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Restaurant forbids tipping, instead pays servers a "living wage."


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Anti tipping is en vogue and being pushed by the usual suspects. There are a couple of restaurants in the states that have done away with tipping. Now Canada is giving it a go.

 

What are your thougths on tipping? Is it a viable business model or a tradition that needs to die out?

A proxy war for the Ancoms and the Ancaps?Any predictions on success of restaurant mentioned in article Smoke and Water?

 

http://www.calgaryherald.com/business/tipping+please+restaurant+plans+away+with+gratuities+favour+paying+living+wage/9830287/story.html

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I've worked as a busser at a restaurant and received 5% of the servers tips, which typically amounted to $20 an hour in addition to the $3.50 an hour I made working. The servers made more than that. Talking with other people at other restaurants, this seems to be pretty much the same where I live, though it varies on the season.

 

I don't know, perhaps there are some restaurants where people don't make all that much. If that is the case, the restaurant is legally obliged to make up the difference and pay you minimum wage. Either way, the article says that it is common for people to earn up to $150 in tips a day.

 

I'm a good bit confused by the idea that this meant to help workers as the concept that they are underpaid is not true. What I think is going on is that the owner figured out that he could attract more customers by increasing the food price by 18 cents and paying the staff more as opposed to having the customers tip the staff. If that isn't clear, overall it will be cheaper for the customer to pay an extra 18 cents per item as opposed to paying an extra 10-20% per item, and this will provide a competitive edge in price over the competition.

 

Provided the above is true, this "workers are underpaid" sentiment is a way to gain publicity and popularity while obscuring the fact that this has nothing to do with the workers pay, and everything to do with what the customer pays.

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A person is free to tip as they see fit. A restaurateur cannot require a customer tip, so there's certainly nothing morally wrong with that. And being that a restaurant is private property, there is nothing morally wrong with forbidding tipping. That said, if I had a choice between a restaurant that forbid any harmless, consensual behavior and one that did not, I would go to the less restrictive one. I'd also be likely to save my receipts and write a letter to the overbearing restaurant to let them know they're losing business and why. 

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"Ban tipping?" I don't support "banning" anything. But if a restaraunt IS GOING TO PAY THEIR SERVERS MORE... I support that. But I would say that "tipping should be a hot topic" at that restaraunt. Put some of the philosophy somewhere on the menu or on some sign or leaflet for the customer to start a table discussion about it.

 

So if a restaraunt pays their servers more, and I was happy with my service, and my meal wasn't too darned expensive, than I may tip IN ADDITION to the increased pay.

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So if a restaraunt pays their servers more, and I was happy with my service, and my meal wasn't too darned expensive, than I may tip IN ADDITION to the increased pay.

 

As I argued above, this seems to be mostly an accounting gimmick as the severs make the same amount of money if not more through tips. Really, the restaurant doesn't pay anyone, it is the customers that do, regardless if it more directly through tips, or indirectly through food and beverage.

 

My guess is that without tips, the amount of money a server will make will be more consistent, but somewhat less. During slower times the higher wage will make up for the loss of tips from a slow night, while during really busy nights the servers will make less than they would if they received tips.

 

I don't know, it might be more money overall for servers that stick around, but for the people who do serving to make a lot of money during tourist season, it will certainly be less. This is all just guess based on my experience with the industry.

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