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Tue Dec 26, 2017, 09:07 AM

Let's talk Tips

Paraphrased from the article which is behind a paywall and some of my own editorializing,

As you visit your favorite restaurant this holiday season, keep this in mind. Trump's Department of Labor is rescinding rules concerning TIPS.(Tips should go to the person being tipped, duh)

On the one hand the restaurant industry justification for making us pay tips to wait staff is the tip is for good service, ostensibly the particular person giving the good service. On the other hand the restaurant industry is pressuring the government to allow THEM to decide what happens to those TIPS.

Officials argue that this will free restaurants to use some of the tip money to reward lowly dishwashers, line cooks and other workers who toil in the less glamorous quarters and presumably make less than servers who get tips(which cancels out the original justification for TIPS).

The government’s proposal makes clear that business owners would have no obligation to use the money in this way. They would be free to pocket some or all of that cash, spend it to spiff up the dining room or use it to underwrite $2 margaritas at happy hour. And that’s what makes this proposal so disturbing.

By changing the original justification of tipping, the government might well end up destroying the practice, a practice BTW I don't agree with. Wait staff should be paid a living wage and we should pay for it, like every other business model on Earth. Either way, working-class Americans, ESPECIALLY people who believed that Mr. Trump would fight for them will get screwed because many people will stop eating out, or giving TIP money to the restaurant employer to do with as they wish. Another workaround might be an alternative method of getting the TIP to wait staff.

The Trump Administration to Restaurants: Take the Tips!
https://www.nytimes.com/2017/12/21/opinion/trump-administration-restaurants-tipping.html?_r=0

Most Americans assume that when they leave a tip for waiters and bartenders, those workers pocket the money. That could become wishful thinking under a Trump administration proposal that would give restaurants and other businesses complete control over the tips earned by their employees.

The Department of Labor recently proposed allowing employers to pool tips and use them as they see fit as long as all of their workers are paid at least the minimum wage, which is $7.25 an hour nationally and higher in some states and cities. Officials argue that this will free restaurants to use some of the tip money to reward lowly dishwashers, line cooks and other workers who toil in the less glamorous quarters and presumably make less than servers who get tips. Using tips to compensate all employees sounds like a worthy cause, but a simple reading of the government’s proposal makes clear that business owners would have no obligation to use the money in this way. They would be free to pocket some or all of that cash, spend it to spiff up the dining room or use it to underwrite $2 margaritas at happy hour. And that’s what makes this proposal so disturbing.

The 3.2 million Americans who work as waiters, waitresses and bartenders include some of the lowest-compensated working people in the country. The median hourly wage for waiters and waitresses was $9.61 an hour last year, according to the Bureau of Labor Statistics. Further, there is a sordid history of restaurant owners who steal tips, and of settlements in which they have agreed to repay workers millions of dollars.

Not to worry, says the Labor Department, which argues, oddly and unconvincingly, that workers will be better off no matter how owners spend the money. Enlarging dining rooms, reducing menu prices or offering paid time off should be seen as “potential benefits to employees and the economy over all.” The department also assures us that owners will funnel tip money to employees because workers would quit otherwise.

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Response to HAB911 (Original post)

Tue Dec 26, 2017, 09:10 AM

1. In restaurants, I often pay with a credit card.

However, my tip is always in cash. That allows the server, who is the only person with whom I interact in most cases, to do as he or she wishes with that tip. Keep it or share it.

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Response to MineralMan (Reply #1)

Tue Dec 26, 2017, 09:17 AM

2. Agree

but I never have cash and have always put the tip on the CC. I guess that will have to change. Assholes.

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Response to MineralMan (Reply #1)

Tue Dec 26, 2017, 09:29 AM

8. I do the same. That way I can be certain that the person who gave the good service gets the tip.

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Response to MineralMan (Reply #1)

Tue Dec 26, 2017, 10:07 AM

11. Yes, yes, only way to give a tip is with cash.......been doing that for the last 5 - 6 years.

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Response to HAB911 (Original post)

Tue Dec 26, 2017, 09:18 AM

3. Good idea -

But what about jar tips? Wonder who actually gets those.

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Response to northoftheborder (Reply #3)

Tue Dec 26, 2017, 09:20 AM

6. I assume up the the proprietor of the establishment

so we would be put in the position of asking

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Response to HAB911 (Original post)

Tue Dec 26, 2017, 09:18 AM

4. I always tip in cash that I place in the hand of my server.

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Response to TexasProgresive (Reply #4)

Tue Dec 26, 2017, 09:22 AM

7. That doesn't guarantee anything

the owner knows how much money is being passed through via tips

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Response to HAB911 (Reply #7)

Tue Dec 26, 2017, 09:31 AM

9. Might have to resort to writing a check "pay to the order" servers name.

I don't tip owners. I tip wait staff.

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Response to TexasProgresive (Reply #9)

Tue Dec 26, 2017, 09:34 AM

10. I like that idea!

Owners would go ballistic

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Response to HAB911 (Original post)

Tue Dec 26, 2017, 09:19 AM

5. I agree with you about paying a living wage

Every full time job should earn better than a poverty wage and provide benefits for the workers. The pittance allowed to be paid to wait staff is disgusting and should be increased to at least minimum wage.

My husband and I tip at least 20 percent when we eat out. That is for minimum basic service. If the service is better than average or if the meal is at a cheaper location, we tip a higher percent. For instance, at a fancy restaurant, for excellent service on a $50 meal, we'll tip 25-30%. At Waffle House for excellent service on a $15 breakfast we'll tip 50%

I disagree with my husband, though - he prefers to add the tip to the charge when he pays using a credit card. I prefer to tip in cash since that allows the wait person to better keep their tips and gives the management less chance to claim a part of them.

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Response to HAB911 (Original post)

Tue Dec 26, 2017, 10:56 AM

12. I will start paying tips in cash

instead of CC. The people that get tips are paid a lower minimum wage than the people in the kitchen. In Ohio I think it is around $3 an hour.

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