drrich2
Contributor
A recurrent topic in ScubaBoard threads (and elsewhere) is the prevalence of tipping in service sector jobs like waiting tables at sit-down restaurants. It's strongly associated with the U.S.A., and neighboring areas where U.S.-tourism has a strong influence (e.g.: the Caribbean), and far less so in some other areas such as much of Europe, from what I gather from other's posts. Many people wish we didn't have a tipping culture; ambiguity about how much to tip without over or under-paying, coupled with a sense that the price should be the price, pitting against the idea that tipping culture puts a portion of the server's pay in the hands of the customer and incentivizes better service.
A recurrent theme in causation is alleged to be that greedy business owners refuse to pay their employees a 'living wage,' putting customers in the position of having to make up the difference to these exploited employees after they've already paid what was supposed to be the cost of the meal, diving, etc... But is that the truth?
This thread isn't about another contentious arm-wrestle over who's right. It's an interesting look at why the U.S. has this. The Guardian has an online article ‘The numbers don’t lie’: why no-tipping policies can hurt US restaurant workers, by Gene Marks. Some U.S. business managers tried to get away from tipping culture, and it didn't go well.
I didn't know tipping became especially popular when Prohibition cut into restaurants' profits.
Also, if one restaurant eliminates tipping and pays more, it has to charge higher prices up front, which can send customers elsewhere...even if the final cost ends up being much the time. And some 'high-profile' eateries had trouble with recruitment and retention when using a no tipping model.
Regardless, why should things in the U.S. be substantially different than in the U.K. or other western European-style culture nations, which are fairly similar to the U.S.? Marks wrote:
"It’s because the US is, at its core, an entrepreneurial, free-market culture. And tipping is an entrepreneurial model. Customers are conditioned to tip and employees are conditioned to earn their tips – like any entrepreneur. And like any entrepreneur the better an employee – and their organization, and their team – the more money is made.
“We treat our sections like our own small businesses,” write six workers with more than 50 years of experience in the restaurant industry. “To us, the restaurant floor is an interwoven system of independent entrepreneurs that runs like a well-oiled machine. We have no issue with an increased minimum wage for non-tipped workers, but for our industry the tipping model works for the guests, the employees and the company.”
I have countless clients that are endlessly searching for ways to motivate their employees. They try team building apps. They give out awards. They offer performance bonuses. If only they had the built-in motivational tool that is the tip. When implemented the right way, it is a tool that turns an employee into a partner. It is all the motivation needed."
Regardless of whether you prefer or abhor U.S. tipping culture, it was a thought-provoking article and Gene Marks' explanations help understand it better.
1.) There's a historical basis for why it became particularly prominent in the U.S.
2.) There's a cultural basis for why it continues to dominate, not just in terms of custom, but the way many employees think and operate.
3.) At least sometimes it's staff, not management, driving this.
4.) While there's an obvious cost to the customer in awkwardness, uncertainty and bother, there are benefits in service quality control for employees, management and customers in the business.
A recurrent theme in causation is alleged to be that greedy business owners refuse to pay their employees a 'living wage,' putting customers in the position of having to make up the difference to these exploited employees after they've already paid what was supposed to be the cost of the meal, diving, etc... But is that the truth?
This thread isn't about another contentious arm-wrestle over who's right. It's an interesting look at why the U.S. has this. The Guardian has an online article ‘The numbers don’t lie’: why no-tipping policies can hurt US restaurant workers, by Gene Marks. Some U.S. business managers tried to get away from tipping culture, and it didn't go well.
I didn't know tipping became especially popular when Prohibition cut into restaurants' profits.
Also, if one restaurant eliminates tipping and pays more, it has to charge higher prices up front, which can send customers elsewhere...even if the final cost ends up being much the time. And some 'high-profile' eateries had trouble with recruitment and retention when using a no tipping model.
Regardless, why should things in the U.S. be substantially different than in the U.K. or other western European-style culture nations, which are fairly similar to the U.S.? Marks wrote:
"It’s because the US is, at its core, an entrepreneurial, free-market culture. And tipping is an entrepreneurial model. Customers are conditioned to tip and employees are conditioned to earn their tips – like any entrepreneur. And like any entrepreneur the better an employee – and their organization, and their team – the more money is made.
“We treat our sections like our own small businesses,” write six workers with more than 50 years of experience in the restaurant industry. “To us, the restaurant floor is an interwoven system of independent entrepreneurs that runs like a well-oiled machine. We have no issue with an increased minimum wage for non-tipped workers, but for our industry the tipping model works for the guests, the employees and the company.”
I have countless clients that are endlessly searching for ways to motivate their employees. They try team building apps. They give out awards. They offer performance bonuses. If only they had the built-in motivational tool that is the tip. When implemented the right way, it is a tool that turns an employee into a partner. It is all the motivation needed."
Regardless of whether you prefer or abhor U.S. tipping culture, it was a thought-provoking article and Gene Marks' explanations help understand it better.
1.) There's a historical basis for why it became particularly prominent in the U.S.
2.) There's a cultural basis for why it continues to dominate, not just in terms of custom, but the way many employees think and operate.
3.) At least sometimes it's staff, not management, driving this.
4.) While there's an obvious cost to the customer in awkwardness, uncertainty and bother, there are benefits in service quality control for employees, management and customers in the business.