Restaurants that have adopted a "no tipping" policy and got rid of tips in favor of a higher hourly wage have received a great deal of media attention in the last few months. While much has been discussed from the management and customer perspective, WaiterPay.com conducted a survey to get the server point of view. We sampled a group of about 200 restaurant workers, the majority from the tri state area, and asked how they thought a no tipping policy would affect their work performance and livelihood. According to the survey, 78% of participants believed there was a direct correlation between tips and service, agreeing that “the quality of service greatly affects tips.” When asked “How will a no-tipping policy affect the quality of service you provide to customers?”
38% of survey takers said they believe the no tipping policy will significantly reduce the quality of service they provide to customers.
30% of survey takers said they believe the no tipping policy will not affect the quality of service they provide to customers.
32% of survey takers said they believe the no tipping policy would slightly reduce the quality of service they provide to customers.
When asked, “Do you believe earning a higher hourly wage and eliminating tips will reduce your incentive to upsell?”
33% will not have a reduced incentive to upsell.
77% will have a reduced incentive to upsell.
When asked, “How do you think eliminating tipping and earning a straight hourly wage will affect the amount you earn?”
94% believed they would be earning less.
3% thought they would earn more.
3% thought they would earn the same.
When asked, “Do you think front of the house workers should make a higher hourly wage than back of the house workers?”
35% said back of the house workers should be making more than front of the house workers.
46% thought they should be making the same.
19% said front of the house workers should be making more than the back of the house workers.
When asked, “If tips were eliminated at your restaurant, what do you think is a reasonable hourly wage for serves?”
The survey average was $25/hr.
When asked, "Do you believe that restaurants should adopt a no tipping policy?”
94% of survey takers said NO. 2% of survey takers said YES.
For more information about the survey please check out Waiterpay.com’s Facebook and feel free to contact Louis Pechman at pechman@pechmanlaw.com.
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