The Truth Behind Tips

Do you ever wonder what happens to a waiter’s tip? What you may think is what most customers believe and what you about to learn will probably shock you. Depending on the type of restaurant, type of management and the number of staff, a waiter’s tip can vary.

Where Did My Tip Go?

A recent article published by the Chicago Tribune reveals the truth behind tips. There is one of two common types of tipping systems used in most restaurants; a Pool House or an Independent Contractor.

What’s the difference? Tips are placed in a pool and allocated to each staff member at end of the shift while the latter method involves a waiter breaking off a portion of his/her tips to share it among the support staff (i.e. busboys, food runners). Most of us have believed the notion, the waiter keeps everything. Well, if you are one of them, hopefully what you will read next will change your view the next time you enter a restaurant.

Take for example Chris Tallian, a 30 year old veteran waiter in Chicago who has been waiting for most of his adult life. Money has generally been good, but what he wants customers to know is what happens to tips.

At his present job at Nick’s Fishmarket, tips are divided among different staff members or so called support group, the people involved in creating the whole experience. Without their help there would be no table to serve. Therefore at the end of the night, Chris’ tip is broken down into the following:

  • 1% to the hostess
  • 5% to the bartender
  • 13.4% to the busboys
  • 26.8% to the captain
  • 26.9% to the back waiter
  • 26.9% to the front waiter (Chris)

So a $20 tip leaves Chris with only $5.36. All that work for not much at all.

What Happens to Credit Card Tips?

If you thought the tip you left on the credit card goes to the waiter, your wrong again. Instead, a restaurant may charge the waiter credit card processing fees. So even though it’s at no fault of the waiter to accept credit card payment, he/she is left paying for a restaurant’s credit processing charges. Sound fair to you?

Apparently this is legal in most states. Landry’s Restaurants, a Texas-based chain who owns the Rainforest Café subtracts waiter’s tips that are given on credit cards. Restaurants who practice this method usually charge 2 to 4 percent just to offset the credit card processing fees.

How to Get Most Out of Your Tip?

Waiter from the popular blog site, Waiter Rant states:

“If the customer knows tips are being pooled, they can slip the waiter a $20 and say this is just for you, nobody else.”

Waiter also suggest for customers to ask how the tipping system works. You may not get a detailed answer, but it is worth a try.

Three other tips to keep in mind include:

  1. If possible, try to leave a cash tip just in case waiters are charged for credit card processing fees.
  2. Observe the size of the restaurant and its support staff. If your service was met your expectations, then you may want to tip slightly more. The greater the support staff, the less gratuity for your waiter.
  3. Leave a verbal tip by informing the management of your satisfaction of the service. Management will take notice and this should create job security for the waiter.

How Does your Restaurant Work?

Throughout my career as a waiter I have received two types of tipping systems:

Casual Dining – Japanese Restaurant

  • 3.5% to the kitchen staff
  • 96.5% to the waiter

In this instance, the tip distribution to the kitchen staff was insignificant. However the restaurant paid them well above average.

Fine Dining – Continental Cuisine

Lunch

  • 1% of a waiter’s gross sale

Dinner

  • 3.5% of waiter’s gross sale when one person is on the floor
  • 3.0% of waiter’s gross sale when two waiters are on the floor
  • 2.0% of waiter’s gross sale when three waiters are on the floor
  • 1.0% of waiter’s gross sale when four waiters are on the floor

How much do you have to tip out? As a customer, how much do you normally tip a waiter?

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35 Responses to “The Truth Behind Tips”

  1. Mister E Says:

    Slipping money to the waiter and telling him that it is just for him is not being fair to the rest of the support staff who share in the tips. As you acknowledge, the waiter’s job wouldn’t exist without the support staff to back him up and in a restaurant with an extensive support staff the waiter winds up doing much less work than in a restaurant with a smaller staff.

  2. Natalie Says:

    I was a server for way too long. I generally tip 20%

  3. Book Giveaway Winner, New Poll, and Weekend Reading | Million Dollar Journey Says:

    [...] about a topic that we’ve covered before, service tipping! The article is called “The Truth Behind Tips“, and it explains how tips are typically dispersed in a [...]

  4. Ryan Says:

    I wish the kitchen staff got more of the tips. Really it is the food that makes the tips and not the service. The waitor(s) should be given more do to bad customers but pathetic 1-5% of gross is way out of line.

  5. Wayne Says:

    If I go to a restaraunt I know hires illegal aliens, I give only 10% tip and I always use my credit card.

    As far as giving the waiter cash or credit in general, its whatever I have available. But honestly, most waiters don’t report all their tips, so why should I care if they have to pay a little extra for a credit card fee if I use my card. I wish I could work and earn tax free money… Sorry Charlie, you need to pay your taxes too and help pay for all of the things us regular tax payers have to indure.

  6. Food Service Ninja Says:

    I thing we can all agree Wayne is a bigoted jerk who is just looking for an excuse not to tip properly.

    News flash wayne esp in chain restaurants or place that has used illegals the IRS has hit them up for undereported income so the POS system that the servers clock in and out on requires them to declare their tips and since most people used a debit/credit card to pay and the cards are run thru the POS system.

    THUS all the plastic tips are autoreported

    in some places the restaurant doesnt DEDUCT the tip pool moneys from declared tips so you have to document to the IRS why your reported income isnt your net income.

    The days of undereporting tips are long over unless you work in an odd place where cash is the majority payment method.

  7. Eileen Says:

    I am trying to find out the legal stuff behind tips. How much is the employer is responsible for keeping track of employees tips, etc?

  8. TheRestaurantBlogger Says:

    Hi Eileen, there is no actual laws pertaining to the employer in regards to employee tips. As far as I know here in Canada, whatever the employee earns in tips then that is their right to fully keep without question. As long as the employee has given the cash required based on their end of shift reading from the POS, the remaining cash is theirs to keep. On the other hand if it is a tip pool system where the servers split the tips evenly, the employer will have to keep an eye on stealing since servers can easily pocket tips. Other than that, employers will normally estimate how much a server receives in tips based on their net sales. So depending on the type of customers the restaurant serves, then the employer may take a percentage such as 15% or 20% of the employee’s net sales to get a ballpark figure of how much each server has recevied in tips.

  9. Top 10 Foodie Millionaires | Million Dollar Journey Says:

    [...] If you would like to read more from The Restaurant Blogger, check out a couple of his more his popular posts: top 10 restaurant startup mistakes and the truth behind tips. [...]

  10. Ann Says:

    Americans seem obsessed by tipping. Believe it or not the British have always tipped just not so meticuously as Americans. THis obsession makes you seem like a third world country. Why aren’t the waiters etc given a decent wage? You can still give good service without forcing people to leave 20%. People on vacation are on a budget anyway so 20% is a lot. If one diner has a $50 meal, the other $100 why should the service charge be different? They still receive the same service.

  11. audrey Says:

    charging waiters for the CC processing fees is bullsh_t. totally wrong. we’re already making low wages to compensate for the money we’re supposed to get in tips and that is a gamble! IF the customer feels we did a good job and tips what they’re supposed to then after we pay out a host, a busser, a food runner, the kitchen and the bar then we get nailed by CC processing fees too? This is happening at the restaurant I’m currently working for and it smells like fraud. I’m never tipping on a card again, myself

  12. teleburst Says:

    Ann asked why a service charge should be different if one meal is $50 and the other $100 and the service is the same.

    The simple answer is that it’s a commission-based system. There has to be a constant to level the playing field across different types of restaurants. The best way is using a standard percentage, equivalent to a commission. You might as well ask why a salesperson selling a Jaguar usually makes more per car than a Kia salesperson, even though both “do the same job”.

    Don’t forget too that a waiter who sells $100 at a two top versus $50 at a 4 top might “technically” do “less work”, but also has fewer selling opportunities. The higher the check average per person, the fewer people can be waited on because of the higher standards and the fact that people spending more money stay longer. Someone waiting on 40 people at PF Chang’s can have the same amount of sales as a waiter waiting on 10 people at Morton’s. and waiting on those 10 people *can* (but not necessarily) require “more service” than waiting on those 40 people due to wine service, more intensive standards of setup and service, etc. A good lunch diner waitress can make far more than a lunch waiter at Jean-Georges due to the higher volume.

    It shouldn’t matter if how your finances are if you are on vacation. You shouldn’t scream about the high prices at at airports for instance. You have the opportunity to save your money to dine out somewhere else. You shouldn’t expect to be able to buy a $500 diamond-encrusted Eiffel tower paperweight instead of the $10 one unless you have the money for it. If your budget is tight when you’re on vacation, you’re welcome to budget by eating at fast food if you want. Most people however budget to be able to eat at local restaurants as part of the vacation experience. If you have to forgo a different part of the vacation experience, that’s a choice you get to make.

    And I remind you that in all of those “non-third world countries” where they pay a “decent wage”, you’re paying an automatic service charge on top of the food that you might forget is added to the bill. At least under our system, you have the opportunity to penalize poor service, something you don’t get when you have to pay a mandatory service charge.

    Also, restaurant blogger wrote:

    “Hi Eileen, there is no actual laws pertaining to the employer in regards to employee tips”.

    That’s not quite true. Employers are restrained from forcing restaurants to tip out management (mgt. that makes hiring and firing decisions and schedules). They are also constrained from demanding that non-service positions are involved in tipout (except in certain states like Oregon, which allows the practice of kitchen tipouts). The labor code also differentiates between tips and service charges. Tips remain the property of the employee and cannot be “controlled” by the restaurant except in the application of a restaurant-wide tipout that is participated by all tipped employees *and* the dreaded credit card charge. In other words, they can’t withhold any of those tips for the restaurant. Service charges, to include autograts are considered the property of the restaurant and can be divvied up however they like. Most restaurants treat autograts the same as tips though.

    Check out my “So You Want To Be A Waiter” blog at:

    http://teleburst.wordpress.com/

  13. Janice Says:

    Hi I work in TX and at an upscale restaurant. We tipout 4% of our sales for support staff, but our bussers are paid $10 an hour no matter what. Often they are sent home at 7pm and we still tip out 4%. The managers have told us that this is to pay for supplies for the restaurant. We srongly suspect that it is also to supplement managemant income. There have been instances where we did not have any support staff and the managers still kept the 4%. We have also noticed that the managers steal tips. They take part of a credit card tip and say that the customers wanted them to have it. Last Saturday this wound up to be about $1,500!! Everyone is so sick of it and frustrated, but afraid the restaurant will close and we will lose our jobs if we say anything. Any advice?

  14. John Says:

    Hi. I work at a chain restaurant with locations all over the world. The location I work at is in Dearborn, Michigan. I have become increasingly frustrated at the amount of money I have been making lately. The money used to be pretty good for a part time job. Lately, with the declining economy, the money has been getting worse. The tip distribution for this restaurant since I began working here has been:

    4% to the bartenders
    50% of what is left to the chefs
    10% of what is left to the bus staff
    Whatever is left goes to the server

    For example, if I make $100.00 total tips:

    $4.00 to the bartenders
    $48.00 to the chefs
    $4.80 to the bus staff
    $43.20 left for the server

    I am curious to see if anyone sees anything wrong with this tip distribution. It doesn’t seem fair to be to only take home 43.2% of the money I make each time I go into work. The tip distribution policy at work is giving me a headache and I am hoping for a solution soon.

    Any comments would be appreciated. Thanks.

  15. teleburst Says:

    “I am curious to see if anyone sees anything wrong with this tip distribution”.

    Yes.

    It’s outrageously high. You shouldn’t be tipping kitchen personnel ANYTHING, much less 48% of your tips. I’ve never heard of anything that even comes close to that. You’re basically getting scammed.

    Run away as quickly as you can (if you can).

    I’ve had to tip a combined 45% before, but that was only to the server assistants, bar and food runners. And that was WAAAAY high. In most places, it’s illegal to force servers to tip out workers who don’t directly serve the guest. Oregon is one of the few states (if not the only state) that specifically allows this practice. You should check with the Michigan State Labor Board and see if this is allowed.

    You’re basically getting screwed. I wonder if this is a rogue operation of an otherwise normally run chain.

  16. George Says:

    Why is the business owner taking it upon himself to appropriate the customer’s private property, his tip?

    If customers want tips shared among workers they can share them themselves.

    I am a customer and my message to you is, keep your greedy hands off my tips. If I want my tip distributed among workers I will distribute it myself. If you continue to illegally appropriate customer tips I will call you out as a thief. I along with many other customers have given you no authorization to distribute our tips for us.

    Your attempts to steal our tips will be exposed.

  17. George Says:

    The truth behind tips is that they do not belong to anyone unless the customer decides they belong to someone.

    The truth behind tips is that, as the customer’s private property, no one is authorized to distribute the customer’s tip unless the customer authorizes them to distribute his tip.

    Giving a worker a tip does not authorize his employer to appropriate or distribute the customer’s tip.

    The only one authorized to distribute the customer’s tips is the employee who was given the tip.

    This is thr truth behind tips. Anything else is a lie.

  18. George Says:

    Ir you are asking the question “Where Did My Tip Go” wake up an realize that someone stole it. If your tip isn’t going to the person whom you gave it, someone is stealing it.

    It doesn’t take a rocket scientist to figure out that if you don’t know where your tip went seomeone must have stolen it.

    If your tip not in the possession of the person that you gave it to then someone is stealing your tip.

    Instead of asking where did my tip go, you should be asking who stole my tip? Who cars where it went? It was stolen.

  19. Aprons Says:

    George, you seam to forget that most people don’t realize the work that goes on by the support staff to make the server look so good.

    Good servers know how much help they get from the others around them. Each restaurant is different, but it would seam that the servers should have some say in the distribution.

    In a purely capitalistic approach, each server would pay the amount they see is deserved and the support staff would be allowed to give their support according to the tips they receive. If this was the way the system ran what % would you give the support staff?

  20. Lauren Says:

    Riiight……As a former server myself, I think George is WAY out of line. Once money exchanges hands, it is no longer “your money”. A tip is a gift to show you are greatful for the service you received. If you buy a birthday present for someone do you tell them they can’t share it with their friends? “No, you can’t let her borrow the dress I bought for you! I didn’t buy it for her.”

    Sounds like someone has some issues letting go.

    Fact is, once you GIVE me a tip, it is MINE. If I choose to share it, that is entirely my choice. If I work somewhere that requires me to share my tip, well…fact is I choose to keep working there. If you don’t want the tip you GIVE to be given to anyone other than the server, then stop CHOOSING to eat at a restaurant with that type of tipping system. You have complete and total control over YOUR choices, so stop b*tching.

  21. Lindsey Says:

    Wayne says: “But honestly, most waiters don’t report all their tips, so why should I care if they have to pay a little extra for a credit card fee if I use my card. I wish I could work and earn tax free money… Sorry Charlie, you need to pay your taxes too and help pay for all of the things us regular tax payers have to indure.”

    Yeah, well I think most of us could agree that Wayne is a blithering asshole. I’d like to see him live off a wage depending on the generosity of others- especially in the economic times we’re enduring. Also, I’d like to point out that my tips are OVER reported due to the computer systems utilized through most restaurants. My last paycheck (1/6/10) was for 55.42 hours and I was paid $71.16. Yeah, “tax free money” sure is nice to pay bills with.

    It disgusts me to witness such blatant arrogance. Not tipping at a restaurant that employs “illegals?” I’d like to know how Wayne knows without a doubt there are illegals hired at a particular establishment. Wayne seems pretty confident and I’d like to enlighten him to the fact that depending on his jurisdiction, he himself could be prosecuted for not alerting the police. Instead of screwing the server, why doesn’t he turn the particular restaurant into the authorities? (On a side note, I’d like to know how a person himself can be referred to as an “illegal?” Political correctness aside, illegal or not, does that mean that your children, Wayne, are more entitled to eat than the children of someone you would refer to as an “illegal?”)

    Many people assume that servers and bartenders are unmotivated and uneducated when in fact, many of us are quite the opposite. My serving job helped put me through 4 years of college and will also help put me through the next three years of law school.

    If the service was rude and inattentive, tip 10% or better yet, nothing. But when the service is attentive, the server polite and the service quick, please remember these people have bills to pay, just like you do.

  22. MJ Says:

    I work in Toronto Canada, have worked as a Chef and server. I am appalled by how many owners take a mandatory tip out to the ‘house’ (themselves) My last restaurant, an upscale Italian Trattoria, which had just opened a second place in north toronto, takes a 3% tip out in the cashout, and we gave 1%, to the kitchen, this was all based on total sales, not share of actual tips paid. So, in an area of notoriously cheap people, average tips were less than ten percent, and with 4%, sometimes 5 if there were a busperson or bartender, a server could find themselves going home with less than 5% tips on sales. I had nights where my sales were over 1000, so… i paid my bosses, 30$ for the ‘privelege’ of having a job as they told us. We were there to make them money, not ourselves (What?) Problem is, a lot of places do it, servers get fired for complaining, and the labour board does nothing, so… what can we do? Really, anyone? Is there anything that can actually be done about owners taking tips back, when they are already allowed to pay a servers wage, which is less than minimum wage? This means, we are actually getting paid less than servers minimum, and in some cases, less than actual minimum wage after tip out.

  23. George Says:

    Lauren stated,

    As a former server myself, I think George is WAY out of line. Once money exchanges hands, it is no longer “your money”.

    I am not suggesting that the person I give a tip doesn’t have a right to share my tip with whom-ever they want. What I am stating is that I am not giving my tip to any business owner. Do you understand what I am saying?

    While you can do what-ever you want with a tip I give you, it is stealing for someone other than you, namely your employer, to take my tip and share it with whom-ever your employer chooses.

    When employers adopt a policy of pooling or sharing tips, they are taking my tip away from the employee to whom I intended to tip without my permission. They are stealing my tip and treating it as if I gave them the tip. When a business adopts a policy concerning how my tip will be shared, they are stealing my tip.

    You see, I have a legal right to choose who my tip belongs to. It’s my property. As my property, I am the only one with the authority to decide who it belongs to.

    Once I’ve determined who it belongs to, that person, and that person alone, can do what they want with my tip. It becomes their property after, not before, I’ve chosen to give them a tip.

    As a consumer who tips on a regular basis, I am hereby declaring that any employer who adopts policies concerning how my tip will be pooled or shared is doing so without my permission and subsequently is illegally stealing my property to utilize for his own purposes. I have not authorized any business to appropriate my tips for me. I will choose who my tip is intended for.

    Lauren, you are way out of line for asserting that I am out of line for attempting to protect my private property.

    How can I be out of line for simply attempting to protect my private property?

    It’s my tip. Please explain why a business owner, rather than I, should decide who my tip beongs to?

    Don’t you see how ridiculous it is for an employer to decide who is going to share in the customer’s tip? It’s not the employer’s property. Customers have not authorized the employer to appropriate tips for them. On the other hand, an employee who is given a tip is authorized to pool or appropriate the tip in any manner he or she chooses.

    It’s like restaurant owners want to pretend that customers are authorizing the restaurant to appropriate their tips for them. Of course, if I were to pretend that the money in their cash register was mine to use however I choose, I would be locked up in jail. Why the double standard?

    Employers who mandate tip pooling should be locked up in jail. Is that straight forward enough? I say they are stealing my property. Who, other than myself, can accurately know whether or not a business is stealing my tip?

  24. George Says:

    These tip out percentages restaurants are implementing are illegal.

    Imagine if I were to walk into a restaurant and distribute the money in the cash register in the following manner.

    1% to the hostess
    5% to the bartender
    13.4% to the busboys
    26.8% to the captain
    26.9% to the back waiter
    26.9% to the restaurant owner (Chris’s employer)

    What’s wrong with this picture?

    Are you all to stupid to see how illegal this is?

    Restaurants have no more of a right to distribute it’s customer’s tips as a customer, like myself, would have to walk into their restauarant and distribute the money in their cash register.

    If I were to walk into a restaurant and begin distributing the money in their cash register, the restaurant would call the police, I would be arrested, and a judge would sentence me to jail. It would be obvious to everyone that I was stealing their property.

    But when a restaurant does the exact same thing, takes my private property and begins dividing it up, people act as if it’s perfectly legal. Is this world insane?

    How can anyone not see that such business practices are illegal?

    Are they putting something in your water to make you stupid?

  25. mj Says:

    I agree with George to some extent. The law, as everyone keeps throwing out, does not permit an employer, to pay you less than minimum wage. I think we can all agree on that point.
    If an employer then takes a share of your tips, which are the only thing that aloows him/her to pay servers less than standard minimum wage, they are now paying you less than minimum wage. The LAW, does not allow that. Distribution to others that are also working for minimum wage, is allowed, but it is up to the server to pay those people, the owners can only make a suggestion to how much that payout should be, it is not permitted, for an owner, to have a say in your money.

  26. mj Says:

    Have to say as well, that the disagreement between George and Lauren, is sorta funny, they seem to be arguing the same point, in different ways, and not really seeing what the other is actually saying.

  27. Monica Says:

    Um, is it weird that I work at a place that doesn’t do ANY Of this? No pooling, no support staff, nothing. A server’s tips are their own. Then again there are no bussers (We bus our own tables) but the kitchen doesn’t see any of our tips. Neither does the host/hostess. They all get paid more than we do an hour, they just don’t get tips. Is this weird?

  28. mj Says:

    @Monica.
    Yes, it is kind of weird.. I guess it depends on what the other staff get paid. There are still a few places out there like yours, but they are no longer the norm. In most places I have worked, it was standard for servers to at least tip their bartender, busser and hostess, only in the last ten years sis a kitchen tip get added into the mix. Only in the last five has it become more and more regular for the owners to start dipping into a servers tips.

  29. pissedoff Says:

    at the restaurant i work at… i have to split my tips with the owner (who is also the chef) 70/30. thing is… sometimes his wife waitresses with me… and then he decides it should be split 33/33/33… so they take home 66% of the tips. does this seem fair to you guys?

  30. Kristy Says:

    As a former restaurant owner, I am blown away at the attitude of George and others who express such strong feelings by using words like “illegal”, “theft”, etc. Why would an employer provide (at the restaurant’s expense) all these support staff employees for the purpose of providing help to the server, then allow the server to walk away with all the tips? This would result in a HUGE wage disparity between the service personnel, with the servers making tremendously more than those who helped make the service exceptional.

    George seems to think that a business should provide a “free” space for a server to come in, do his/her thing and walk away, with no responsibility to those who contributed to his success. Herein lies the justification for the employer to implement policies regarding the fair sharing of the tips. As long as the laws are followed, that is the right of the employer. I have to think that when a customer walks into a restaurant, he/she is smart enough to realize that there are laws, then policies that are being implemented when it comes to the customer’s money, both the charges and the tips.

    If George were to ever step on the other side, into ownership, his eyes would be opened.

  31. Mark Says:

    Is it just me, or am I the only one that tips mostly for the quality of the food? I pay 15% for decent food and decent service. I might pay 18% for really good service, but I’d happily pay 20%+ for outstanding food. Similarly I’d pay 10% for poor quality food. I never realized that the kitchen staff actually gets such a small percentage of the tip..

  32. Distressed Says:

    Hi there,
    My employer makes us pay 10% of our tips at the end of the night. We recently got a notice that they will be charging the servers an extra 3% of our credit card tips, so that it pays for their credit card charges. This will be taken off of our paychecks. Is this legal? I am trying to find out about the legal aspect of this, and have searched the labour board website. Where can I find this?
    Also, if a customer leaves you a tip, it should be going to the server only. The kitchen staff makes minimum wage already, sometimes even more. A server makes below minimum wage because they receive tips. I agree with tipping the kitchen or cashier on your own accord, but not a percentage.

  33. Shirley Says:

    I am on a fixed income and work for minimum wage part time. I do not get tips, regardless of how good my service is. When I go out to eat, I do not want to feel that I am obligated to tip when I get ordinary, regular service. I can’t afford to. No one tips me for good work, so I believe that unless I get especially good service and attention, tipping is not required. Tipping originally was given by a customer only when a server gave extraordinary service. Now it’s just expected, even when you get lousy service. And I do get more lousy service than good service. But I am still expected to tip. I think the tipping has lost its meaning and servers no longer give special service to gain their tips. They take the order, bring the order, refill the coffee, remove the dishes and hey…where’s my tip. Nothing special there!

  34. George Says:

    You are absolutely right Shirley. No one should expect a tip. Tips are voluntary. This is common sense. That’s why people like Kristy shouldn’t be spouting off about certain types of people deserving tips. What restaurant owners like Kristy want is for you to just give your tips over to them so they can use the money to pay all their employees. Business owners are the ones who are expecting tips. They expect customers to just sit back and let employers use their tips to pay the staffing costs of the business.

    Thind about this. In the 1960′s, restaurant owners either lobbied or bribed our elected officials into passing a law that allows business owners to pay workers who receive tips $2.13 instead of the normal minimum wage. Rather than paying employees $7.25 an hour, the current minimum wage, restaurant owners are now able to pay tipped employees only $2.13 an hour.

    The point I am making is, while Shirley suggests that tips should be taken away from the servers so that part of the tips can be shared with other support staff, allowing employers to distribute the customer’s tip in such a manner would actually provide employers with the opportunity to pay more workers $2.13 an hour.

    Do you see what I am getting at? While Kristy is appearing to care about all the other employees who are not receing tips directly from customers, the truth of the matter is, there is an alterior motive for employers to share the servers tips with other workers. When a worker receives $30 a month in tips, the workers is classified as a tipped employee. Under federal, and most state, laws, employers can pay tipped employees less than minimum wage. When an employer forces some of his tipped workers to share part of their tips with other workers, the other workers now qualify to be paid $2.13 an hour instead of $7.25.

    While Shirley acts as if she’s concerned about the other workers earning enough, restaurant owners in the past have shown that they don’t want their workers to earn that much. That’s why they persuaded lawmakers into allowing them to pay tipped employee’s $2.13 an hour.

    Do you realling think they care about their employees when they continue to support the idea that an empolyee who receives tip should only be paid $2.12 an hour?

  35. George Says:

    Kristy wrote:

    Why would an employer provide (at the restaurant’s expense) all these support staff employees for the purpose of providing help to the server, then allow the server to walk away with all the tips?

    Maybe because stealing private property is a crime?

    Employers are providing help to the server to make themselves money. It’s just a part of business. You need workers to run a restaurant. The reason customers are tipping is because restaurants have a reputation of underpaying their servers. If restaurants hadn’t been so cheap to start with, customers wouldn’t be tipping. Don’t act like it’s the server’s fault customers are tipping thme. Before 1960m many restaurants didn’t even pay their servers an hourly wage, they made them work for tips only. Servers were not eligible for minimum wage until the mid 1960.

    Kristy also wrote:
    George seems to think that a business should provide a “free” space for a server to come in, do his/her thing and walk away, with no responsibility to those who contributed to their success. Look at the wages they are currently paying their employees. The restaurant industry currently pays the lowest wages of any industry.

    It’s not servers who think that they should walk away with all the money, thats what restaurant onwers think. They think they can open a business and walk away with no responsibility to those who contributed to their success.

    Look, if customer tipping is causing such a problem for restaurnat owners, why don’t they just put up no tipping signs?

    The truth of the matter is, while owners like Kristy want to us to believe that tipping is causing problems for owners, like creating HUGE wage disparity between the service personnel, none of them are willing to put a sign up stating no tipping allowed. You see the truth is, this tipping that Kristy is complaining about is aiding business owners. That’s right, while Kristy wants us to believe that tipping is something servers have invented to steal away part of the income their employer should be raking in, the truth of the matter is, the reluctance of restaurant owners to pay their server’s a respectable hourly wage is what actually prompted customers to start tipping.

    And yet Kristy wants to act as if a server is there to set up to run his own little business of making tips. It’s not a business. Customers don’t have to tip. the only reason they are tipping is, they know how stingy and cheap most restaurant owner are.

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