Saturday, March 30, 2019

The mechanics of tipping US-style

On March 7, 2009 the BBC had an article about tipping.

On March 9th, someone posted it to a message board.

I wrote:
I don't like the idea that tips are expected, but if I were with others I don't think I would have the courage to not tip. A few weeks ago I went to IHOP for dinner and I enjoyed the food, but thought the service was crappy. I paid about 11% for a tip.
Someone responded to me:
Servers get paid about $2 an hour, it's why tips are expected.

Normal situations -- I leave 10% for AWFUL service, 15% for ehhhh, 20% for normal, 25% or more for great service.

If I'm sitting up at a bar for myself at lunch and suck through a few drink refills, I leave about 40-50% but it's usually a bartender I know and the lunch tab is pretty small to start with. I usually go out to a local watering hole on Sunday nights, and the bartender will charge me for a draft or two less than I actually drink, the cost of which mostly goes back into the tip.

I worked in the business for a while when I was in law school, at least long enough to know when a screwup is the kitchen's fault, and when it's the servers fault. The only time I ever left no tip was when a server blamed her own fuckup on the kitchen. I can deal with incompetence, never dishonesty.
I think restaurants should pay at least minimum wage to their employees.  I think tipping should be optional for great service or to help someone out.  I think restaurants should stop including tips on their receipts and include a note saying they are optional and that a tip will not be added to your bill or credit card.

Another person posted a clip from Reservoir Dogs where Mr. Pink (played by Steve Buscemi) refused to give a tip:


Then I wrote:
I was thinking about some other scenarios:
Do you tip the driver who delivers your packages?
Do you tip the paperboy?
When you stay in at a fast food restaurant such as McDonalds, do you give a tip?
Doesn't the price of a meal at a restaurant include some type of service?
Someone responded to me:
We don't get the paper so no on that one. My Dad used to get the paper delivered to help out a friend who was the paperboy for our street.
I used to tip the guy delivering flowers my husband sent me.
I never tipped the UPS drivers who deliver our packages. Hmmm. Maybe I should.
I give the mailman a tip at Christmas. My parents always did that so I do it.
As far as I know, tips aren't allowed at McDonald's or Burger King. They weren't when I worked there as a kid. I've never seen a "tip cup" there either. At least not here. But, I see them at Dunkin' Donuts, Starbucks, Panera, etc.
We always tip the pizza delivery drivers. I hate that they charge for delivery now but figure it's not the driver's fault.
Interesting. Something to think about (for me).
Another person wrote:
Tipping is a much more flexible wage option. It ties payroll to income and gives the wait staff an investment in the success of the business. Piecework.

One of the legitimate objections to piecework is that employers would gradually drop the rates in the boiling frog scenario.

Tipping takes the employer out of the loop, enabling waiters some control over their income.
I responded with:
If tipping is nearly unanimous, then there really isn't an incentive to do a good job. Just do the job and you will get paid. Now some might try harder to get a better tip. Since the waiter doesn't even get the tip until after you are gone, you can't really send them a message about how they did their job. If you pay 10% instead of 15% because the service wasn't very good, it is probably too small of an amount to matter.

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