[HN Gopher] Has gratuity culture reached a tipping point?
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       Has gratuity culture reached a tipping point?
        
       Author : mikhael
       Score  : 38 points
       Date   : 2023-12-25 21:37 UTC (1 hours ago)
        
 (HTM) web link (www.newyorker.com)
 (TXT) w3m dump (www.newyorker.com)
        
       | FirmwareBurner wrote:
       | Title pun intended?
        
         | kristjansson wrote:
         | Of course, it's the New Yorker?
        
           | politelemon wrote:
           | Please accept my gratuitude
        
       | loloquwowndueo wrote:
       | Betteridge's law says no, it hasn't.
        
         | sjfjsjdjwvwvc wrote:
         | Gotta love betteridges law; it saves me so much time not
         | reading bogus articles
        
           | loloquwowndueo wrote:
           | IKR!
        
           | matt-attack wrote:
           | I've never heard of it but can tell what it is from context.
           | I agree.
        
           | raverbashing wrote:
           | "Betteridge law of headlines, do they always apply?"
        
             | IanHalbwachs wrote:
             | This article has never been written because no example of
             | the law not applying has ever been found ;)
        
       | paulddraper wrote:
       | Gratuities are useful when they _follow_ the service.
       | 
       | The porter carries the luggage, the waitress brings the food, the
       | vallet retrieves the car, the technician fixes the furnace, etc.
       | 
       | Some of the payment is up to the consumer, who can pay more for
       | quality service.
       | 
       | Tipping prior to service is dumb and pointless.
        
         | edflsafoiewq wrote:
         | Tipping prior to service is usually a bid for priority in the
         | work queue.
        
           | paulddraper wrote:
           | I wouldn't be sad if that were true, but I've never seen it.
           | 
           | Like tipping the hostess to get a table faster? That works?
        
             | lotsofpulp wrote:
             | I don't know how realistic it is, but it is a common
             | tv/movie show trope to slip the host/hostess some cash to
             | get seated quicker or a better seat.
        
       | Plasmoid wrote:
       | I once heard a lawyer explain that tipping is legally
       | problematic.
       | 
       | Service quality affects tip amount very little (~1%), but what
       | does affect it is race, age, and gender. The result is that
       | people doing the same job are being paid meaningfully
       | differently. While the policy isn't discriminatory, the effect of
       | it is, which means that it would likely run afoul of EEOC rules.
       | 
       | The lawyer said if anyone brought a pay discrimination case to
       | them based on tipping they would strongly consider taking it to
       | court.
        
         | FirmwareBurner wrote:
         | _> Service quality affects tip amount very little (~1%), but
         | what does affect it race, age, and gender. _
         | 
         | No shit. There isn't much objective meritocracy in work
         | involving human interaction. Even Mythbusters proved bigger
         | breasts gets you bigger tips.
        
           | simbolit wrote:
           | Perhaps I am old-fashioned, but "proved" is a strong word for
           | a two-day experiment of a single waitress with no control of
           | outside variables.
        
             | FirmwareBurner wrote:
             | Well yeah, they were an entertainment show, not a research
             | institute but I doubt you'll find anyone refuting their
             | find though.
             | 
             | It's a known fact better looking people get treated better
             | by their fellow clothed apes in all walks of life,
             | including and especially, service industry work.
        
               | simbolit wrote:
               | I am not objecting to the finding or the show, I am
               | objecting to the casual use of "prove" where something
               | has merely been plausibly suggested.
        
               | AlbertCory wrote:
               | Correct. Things can be disproved by a counterexample, but
               | not proved.
               | 
               | A theory that "tips are _always_ determined only by
               | service quality " is indeed disproved by Myth Busters.
               | But that's not what he said.
        
         | MattGaiser wrote:
         | Who would the case be against? The employer? So my ugly mug
         | could sue over not earning what other servers did if I got a
         | serving job?
        
           | toomuchtodo wrote:
           | You could potentially sue the employer for creating a
           | discriminatory environment by allowing tipping is what it
           | sounds like. Seems reasonable based on a preponderance of the
           | evidence (civil bar). Not an attorney but interested to hear
           | one's opinion on the topic.
           | 
           | https://ecommons.cornell.edu/items/84c39daf-0ec4-4eac-a52b-9.
           | ..
           | 
           | https://www.politico.com/magazine/story/2019/07/17/william-b.
           | ..
           | 
           | https://ilr.law.uiowa.edu/print/volume-101-issue-4/fifteen-p.
           | ..
        
         | pierat wrote:
         | > The lawyer said if anyone brought a pay discrimination case
         | to them based on tipping they would strongly consider taking it
         | to court.
         | 
         | Better be pro-bono. Cause no tipped worker I know could even
         | afford an hour of lawyer time, let along dozens or hundreds of
         | billable hours for defeating tipping.
         | 
         | You all realize that tipped wage is $2.35/hr, which isn't
         | usually enough paid consistently either.
         | 
         | Restaurants and tipped places are THE WORST.
        
           | jamilton wrote:
           | Maybe a union or other worker rights organization could
           | support it.
        
             | jraph wrote:
             | There might be a more efficient way of obtaining this
             | through a union: strikes until the base salary is not
             | enough.
             | 
             | But in a country _and_ a field where unions and strikes don
             | 't seem very common, this is difficult.
        
           | hollerith wrote:
           | >Better be pro-bono.
           | 
           | If it is a good case, a lawyer will take it "on contingency,"
           | meaning the lawyer gets paid only if his client wins.
        
           | seanmcdirmid wrote:
           | > You all realize that tipped wage is $2.35/hr, which isn't
           | usually enough paid consistently either.
           | 
           | That isn't true in all states, in California, Oregon, and
           | Washington (and MT, NV, MN, AK) they make at least minimum
           | wage, tips are always on top of that, no tip credits are
           | allowed.
        
           | graton wrote:
           | > You all realize that tipped wage is $2.35/hr, which isn't
           | usually enough paid consistently either.
           | 
           | That is the federal tipped wage (which actually seems to be
           | $2.13/hr). It depends which state you live in. Seems like
           | only 15 states use the federal amount [1].
           | 
           | Where I live in Oregon tipped workers get the full minimum
           | wage of $15.45/hr in the Portland metro area. There is also
           | $14.20/hr for the rest of the state, and $13.20/hr for some
           | rural counties. Some other states also require tipped workers
           | to be paid the full minimum wage, but not that many.
           | 
           | 1. https://www.dol.gov/agencies/whd/state/minimum-wage/tipped
        
       | simbolit wrote:
       | Tipping is great, if it is optional.
       | 
       | I feel in many parts of the US it is now expected, if not
       | demanded.
       | 
       | This is bullshit. If your business model doesn't work without
       | tips, you need to raise the base prices. And in pubs and bars and
       | such you need to pay your staff a proper wage.
       | 
       | Tipping is great, if it is optional.
        
         | jart wrote:
         | Tipping is basically a soft form of bribery, which isn't great
         | at all. When it becomes mandatory, it's even worse.
        
       | baby wrote:
       | I want to hear a real argument against individual action, aka to
       | stop tipping. I guarantee you that if we all stopped tipping
       | today the system would change. There really needs to be a
       | movement to reverse the shaming of customers and to fight hidden
       | fees in the US in general.
        
         | techscruggs wrote:
         | Because not tipping someone that makes their living off of tips
         | is a jerk move.
        
           | lotsofpulp wrote:
           | No, expecting someone to pay you when you do not clearly tell
           | them how much they owe you is a jerk move.
           | 
           | Simultaneously, laws that allow employers to pay different
           | minimum wages and required extra effort from the employee to
           | get the full minimum wage are also jerk moves.
        
             | peyton wrote:
             | I dunno, it's just from noblesse oblige. If you don't want
             | to be generous to the people feeding you, then don't tip.
        
               | lotsofpulp wrote:
               | The waiters are not feeding me. I have zero evidence that
               | the money I give as a tip goes to the people making the
               | food.
        
               | pixelatedindex wrote:
               | What about the person making the food? They arguably do
               | more work than the person who takes the order (if at all,
               | with how you scan a QR code these days) and they bring
               | you the food. The tips are almost always for the wait
               | staff and doesn't go to the kitchen.
        
               | theultdev wrote:
               | The cooks aren't being paid server wages, so you don't
               | have to tip them.
               | 
               | And no, servers do a lot lot more. Have you actually
               | worked any of these jobs? I did both.
               | 
               | There's a reason it's so damn cold in a lot of
               | restaurants, serving is really hard work.
               | 
               | Kitchen work is kinda fun, serving is not, but you can
               | make good money if you're good, due to tips.
        
           | pixelatedindex wrote:
           | Interesting that you think not tipping is the jerk move, in
           | my mind the employer not paying them living wage is the real
           | jerk move.
        
         | lotsofpulp wrote:
         | The only mechanism I can see to make it stop would be for
         | businesses that clearly advertise no tipping being more
         | successful than other businesses.
        
         | jokethrowaway wrote:
         | 1. It's not going to lower prices - prices will just go up to
         | compensate for higher wages
         | 
         | 2. You can't force a market to act in a certain way, you can't
         | make everyone stops tipping.
         | 
         | It's a problem which exists only in your head, decide how much
         | to standard-tip in advance and then just use that amount to
         | think about how expensive a place is. If people treat you badly
         | for it (either bad service or reputation among peers) raise it
         | and shop in cheaper places.
         | 
         | You can't change the world, change yourself.
        
           | Nathanba wrote:
           | >2. You can't force a market to act in a certain way, you
           | can't make everyone stops tipping.
           | 
           | of course you can, simply make tipping illegal and it will
           | stop
        
         | DonsDiscountGas wrote:
         | "Everybody just stop" is not a solution to this or any other
         | problem, because everybody is not going to just stop.
         | 
         | I've seen restaurants that put "we will add a 20% gratuity to
         | every bill" on the menu, which is a good idea but restaurants
         | still need to do it. And "every restaurant just do X" is also
         | not realistic.
         | 
         | My suggestions are twofold:
         | 
         | 1. Remove any exception in minimum wage laws for "tipped
         | employees". So at least they're now making minimum wage.
         | 
         | 2. Outlaw tipping. Hard to enforce, but it does mean that every
         | piece of software (apps, in restaurant screens) will no longer
         | have the option to tip. So if people want to tip they need to
         | do so in cash, and paying in cash is rare and getting rarer.
        
           | jrajav wrote:
           | The obvious solution is #1. Tip credits were a greedy and
           | completely unnecessary policy from the start that should
           | never have made it into law. Removing them again will
           | undercut one of the main reasons everyone still feels
           | obligated to tip at restaurants.
        
       | mgaunard wrote:
       | Americans, please just stop tipping.
       | 
       | Thank you.
        
         | theultdev wrote:
         | No, thanks. Server wages would have to be adjusted first,
         | unless you want to screw those servers.
         | 
         | Please hold while I tip my waiter extra for serving me and my
         | family on Christmas.
         | 
         | I'm sure there's some other cultural practice that you can
         | crusade against, maybe in your own country?
         | 
         | (I do not tip in other countries like Japan as I respect their
         | customs and wages are factored for no tip)
        
           | jraph wrote:
           | > Server wages would have to be adjusted first
           | 
           | Yep, that's what we wish for your waiters and waitresses: to
           | be paid correctly, so they can enjoy a salary that does not
           | depend on their appearance and the customer's mood and the
           | state of mind of all parties involved, and so we can have the
           | right price upfront when choosing from the menu and not feel
           | pressured to pay more when leaving. If you want to sell me
           | fries for $5, service included, just put it like this on the
           | menu already. Abstract away the implementation.
           | 
           | While we are at it, please display the prices with all taxes
           | included, in your shops too, I don't care about the prices
           | without taxes, and I don't care for computing the tax myself,
           | which varies from cities to cities.
        
           | tifik wrote:
           | To stop tipping would be the first step. The market would
           | take care of the rest.
           | 
           | But I know its not that simple in this chicken and egg
           | situation.
        
             | theultdev wrote:
             | Yeah all of those waiters could just fallback on their
             | massive savings and wait out the period between not being
             | tipped and the laws changing.
             | 
             | Meanwhile I'm the dick that didn't pay these people for
             | serving me, in the name of some crusade an article told me
             | to do.
        
               | jraph wrote:
               | Or, we could stop tipping _after_ the law changes. I
               | think we all agree waiters and waitress should have
               | decent income at all times?
        
               | theultdev wrote:
               | Yes that's my point. I was replying to:
               | 
               | > To stop tipping would be the first step.
        
           | slau wrote:
           | The problem is that the outrageous tipping policies that you
           | have infect the rest of the world.
           | 
           | Good on you for not tipping in places where it's not
           | expected.
           | 
           | Now could you please go fix every travel blog that has
           | bullshit SEO articles on "should I tip in $country" and
           | always has the same BS content "5% if you're unhappy, 10-20%
           | if you were satisfied with service, at your discretion for
           | outstanding service".
        
             | theultdev wrote:
             | If I had the power to fix blog content I'd do a lot more
             | than that.
        
             | jraph wrote:
             | > 5% if you're unhappy, 10-20% if you were satisfied with
             | service
             | 
             | Looks reasonable in the US from what I saw, aren't these
             | the correct numbers? I know it varies from place to places.
        
               | slau wrote:
               | That was my point, that's it BS copy paste content
               | created for Americans, yet it doesn't apply nearly
               | anywhere.
        
       | m000 wrote:
       | https://archive.is/zG174
        
       | bedhead wrote:
       | I feel like this became _much_ more acute when Starbucks jumped
       | on the bandwagon and forced every customer to opt in /out of
       | tipping on the POS terminal. Obviously, Starbucks is ubiquitous
       | and a frequent purchase and for decades tens of millions of
       | customers who were accustomed to getting coffee without
       | tipping...and everyone was fine. Then they changed things up and
       | shoved these tips in customers' faces when the notion of tipping
       | for coffee was/is strange. To this day I find it really off-
       | putting and that annoyance has bled into pretty much every other
       | interaction involving tipping.
        
         | lotsofpulp wrote:
         | I recall it being Clover, or whoever started those tablet point
         | of sale systems in the early 2010s. After those arrived is when
         | I started seeing tipping prompts everywhere.
        
         | Animats wrote:
         | Yes. Tipping where you stand in line to check out at a cash
         | register has to stop.
         | 
         | That's not "service". The employee works for the seller.
        
       | jmyeet wrote:
       | The major problem here is hidden costs.
       | 
       | Airlines, for example, are rife with "junk fees". My favoritre is
       | "fuel surchages". That shouldn't be a thing. The service is just
       | more expensive to provide and thus you need to charge more. Then
       | there are checked baggage fees, choosing seat fees, wifi fees,
       | etc.
       | 
       | Tipping is externalizing labor costs while underpaying staff. If
       | you're at a restaurant that food and service simply costs more
       | than the ticket price. You can say "you don't have to tip" but in
       | a lot of cases that's not really true. More to the point, if you
       | object to tipping, you're not hurting the owners. You're hurting
       | the employees. Personally, I have a problem with that.
       | 
       | If you _really_ object to tipping, the correct choice is not to
       | partake in whatever that service is. Don 't go to that
       | restaurant. If you do go and cheap out on a tip to someone who is
       | otherwise earning $7/hour, I'm sorry but you're just a POS.
       | 
       | Now some states mandate a (more) livable minimum wage (eg
       | $15/hour). You can reasonably argue that tipping shouldn't be
       | necessary but I guarantee you that you may well get yelled at for
       | not leaving a tip. And I have a problem with that.
       | 
       | Oh, another favorite "junk fee": Uber introduced a "safety" fee.
       | They simply pocketed it and did nothing [1].
       | 
       | I really object to the tip screens on touchscreen checkouts.
       | These are even worse because typically the staff doesn't get
       | _any_ of it. Ask them. They 'll tell you. It's just a pure money
       | grab. You should _never_ leave a tip like that. If you want to
       | tip staff, give them cash.
       | 
       | There needs to be more government regulation on hidden fees and
       | that includes tipping. We need to force employers to pay a
       | minimum wage. If that means your business is no longer viable,
       | then that's a "you" problem. Businesses that rely on exploitation
       | and paying substandard wages should go out of business.
       | 
       | [1]: https://www.businessinsider.com/uber-safe-rides-
       | fee-500-mill...
        
       | forgotusername6 wrote:
       | As an Englishman, I tip at restaurants as it is the only feedback
       | I am able to leave with respect to the quality of the
       | food/service. When the waiter asks "how's the food?" I am of
       | course obliged to always say "very good, thankyou".
        
         | theultdev wrote:
         | I never base the tip on food quality, unless it was cold or
         | something.
         | 
         | The server has no control over that, not really fair.
        
           | slau wrote:
           | In many places around the world the tip is shared with
           | kitchen staff.
        
             | theultdev wrote:
             | Not in the place where I live, so not applicable.
             | 
             | Generally the kitchen staff is not on server wages in
             | America and do not received a part of the tip.
             | 
             | But yeah, if that's the case for you, go ahead and factor
             | that in.
             | 
             | You see my point though right?
        
         | PlunderBunny wrote:
         | Haha - it's the same in New Zealand: "Fine thanks!", then off
         | to write a bad review online.
        
       | 2OEH8eoCRo0 wrote:
       | Not reporting income from tips is also extremely common. Cash
       | income may as well not exist.
        
       | saurik wrote:
       | > The filet-mignon crowd usually chipped in. Some customers
       | couldn't. (Food stamps can't be used for gratuities.) "The
       | tipping system is there to keep the base price affordable for
       | folks like them," Reed said.
       | 
       | This is stated near the beginning of the article but then
       | doesn't, as far as I am concerned, get anywhere near enough
       | discussion later on (in fact, it is an idea which seems to just
       | get dropped).
       | 
       | It feels, to me, as if what we are really doing as a _society_
       | with tripping, is trying to figure out how to deal with our crazy
       | levels of wealth inequality using a social norm to establish a
       | makeshift wealth tax used to subsidize costs.
       | 
       | While there are always momentary shocks and disruptions, over
       | time the market always ends up taking this stuff into account: in
       | the same way that restaurants realize they can lower the base pay
       | if the server receives tips, the server is mentally weighing the
       | compensation of being a server as including them (a premise that
       | this article does explain near the end, with a story of the
       | restaurant who realized that they have to keep bumping the pay of
       | their kitchen staff to prevent them from realizing they should
       | quit and get a front-of-house job).
       | 
       | While we stare at this often with how we pay people, _it also
       | affects the price_ paid by customers, _driving the base prices
       | down_. A lot of people seem to refuse to do this analysis as they
       | just assume that businesses can charge whatever they want, but a
       | business that can charge whatever they want is a good sign that
       | they are some kind of monopoly (a good test to apply to cases
       | where the monopoly status is less obvious, such as Apple /Google
       | and their app payment schemes).
       | 
       | If a restaurant is receiving a lot of tips, competition with
       | nearby restaurants--which can be brutal and downright cutthroat--
       | is going to cause the base prices see on the menu to be lower
       | than they would be if no one were legally allowed to tip. Of
       | course, competition isn't perfect and some psychology effects
       | here lead to indirect price collusion, but the denser the market
       | the more this effect is going to work...
       | 
       | ...but, even if the revenue to the restaurant starts to equalize
       | --with both the base wages to staff and the base prices of menu
       | items going down--in the same way that specific servers are going
       | to end up getting paid more for any variety of maybe-awkward
       | reasons (the article early on mentions a pretty explicit one
       | involving physical features), _customers are also going to end up
       | now paying different amounts_.
       | 
       | And so, in a world with tipping, while _on average_ we should
       | expect most people to pay something similar for their meals
       | (again: if you don 't think this is true, you must not really
       | believe in capitalism very much), some people are going to be
       | _paying less_ as they decide to feel OK not tipping (or maybe are
       | forced not to, as in the example in the article I quoted
       | involving food stamps) and yet are benefiting from the lower base
       | price.
       | 
       | This, to me, makes the situation really complicated. Like, I sort
       | of don't think I actually mind the wealth tax that I feel like
       | this causes: I _can_ tip and so I find myself tipping more than
       | people who don 't have the resources to tip the same way I do...
       | but, it also feels unfair to me that I know there are people who
       | do have the resources but are choosing not to tip, and my tips
       | are going to subsidize their meals being cheaper.
       | 
       | Like, when you see someone saying they don't tip, you might think
       | they are hurting wait staff... they actually aren't, really, as
       | the existence of these people means the base price of menu items
       | is going to trend a bit higher to compensate. What they are
       | actually doing to wait staff is merely adding a force which
       | equalizes their total compensation slightly by moving some of
       | their wages from the tip column into the salary column: they are,
       | very indirectly, causing people who tip a lot to attractive wait
       | staff to also pay a bit more for their food and for that money to
       | go to someone who fails to get as many tips.
       | 
       | They also are getting food which is massively subsidized by the
       | people like me who pay a lot more via tips because we can and
       | feel bad if we don't (and also probably like the weird social
       | high it gives us, a thing I have written about in prior comments
       | on this topic).
       | 
       | If you like the premise of tipping due to the wealth tax premise,
       | this sucks, as we are actively paying these people to exist (by
       | indirectly transferring wealth to them); if you want a wealth tax
       | we should just add a wealth tax using government, so everyone
       | pays for it fairly--and the people who benefit aren't heavily
       | biased towards the most attractive people--rather than using
       | awkward social pressure to make people feel bad for not
       | participating in the broken simulation of a tax scheme. Remember:
       | if you actively go out of your way to subsidize people who don't
       | care about what society thinks of them you are just training
       | people to be assholes on all sorts of topics :/.
       | 
       | (And, if you don't like the scheme--whether because you dislike
       | the wealth tax or you dislike the broken de fact implementation
       | of it and the biases it results in on the other side of the
       | payments--maybe you can learn from this kind of analysis that you
       | can have an outsized-amount of impact when you refuse to
       | participate, as you aren't just benefiting yourself: that benefit
       | comes from harming the people who disagree with you, and you also
       | are actively contributing to the effect you wanted to see.)
        
       | AlbertCory wrote:
       | You can call this "noblesse oblige" if you like, I don't care.
       | You tip because you can afford it, and server needs the money
       | more than you do.
        
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