Against Tipping?
To continue this off-topic Monday, here is a good article from the Wall Street Journal on why we shouldn’t tip.
The author’s first point is that it is vulgar and demeaning:
When tipping first caught on in the U.S., late in the 19th century, it was the old-world, aristocratic overtones of the practice that drew the most ire. An 1897 editorial in the New York Times declared tipping to be the “vilest of imported vices.” The paper lamented not only that “we have men among us servile enough to accept their earnings in this form” but that others were willing “to reward the servility.” Joining the chorus against “flunkyism,” the Washington Post denounced tipping as “one of the most insidious and one of the most malignant evils” of modern life. Tipping was seen to foster a lord-and-vassal relationship that the prouder professions resisted. Well into the 1910s many bartenders refused gratuities as an insult to their status.
Opposed to vassalage and servility (except to the state, that is), communists have often targeted tipping. When George Orwell arrived in Barcelona in 1936 to fight in Spain’s civil war, “almost my first experience was receiving a lecture from an hotel manager for trying to tip a lift-boy.” In fact, one of the best arguments to be found in favor of tipping is that Fidel Castro tried to eradicate it in Cuba.
Naturally, the WSJ makes the economic argument against tipping.
To resist the custom is to be radically antisocial, like “Mr. Pink,” the crook played by Steve Buscemi in “Reservoir Dogs.” He doesn’t tip “because society says I gotta tip.” When a fellow hoodlum avers that waitresses are underpaid, Mr. Pink answers: “She don’t make enough money, she can quit.”
Generous? No. But economically sound. It’s not that we tip waiters because they are paid so little; they are paid so little because they can expect to make up the difference in tips. Starbucks is known for paying relatively well and providing respectable benefits. Yet, without the tip-jar take, the company would have to raise its wages commensurately to maintain the same caliber of employees. Perhaps prices would rise too, but I suspect many would be happy to have the full, unambiguous cost of the transaction up on the board. As things stand, the tip jar subsidizes the company’s payroll costs. So when you toss a dollar into the cup, you’re really making a donation to Starbucks — and I can think of needier beneficiaries.
Don’t get me wrong… I’m not suggesting that we all go on a “tip strike.” I personally always over-tip. I’m a former taxi driver, and I remember what it was like to need those tips to survive. I also feel like my economic success requires me to pay a little bit back. Finally, I’m encumbered with the Italian-American “tip everybody” syndrome.
Nevertheless, the WSJ presents a compelling argument. Of course, if we followed its logic, a lot of people who don’t have any cause to read the Wall Street Journal would suffer.
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March 3, 2008 at 11:14 am
My mother worked during the 60’s and made the majority of her money from tips. I put myself through college, achieving my associates degree while earning tips. I fully understand the need to earn tips as my hourly wage (working for Waffle House back in the early and mid 90’s) was $2.42. The tips were how I and others like me survived. We had to work hard to keep our customers happy so that they would pay for the “extra special service” that we provided.
Living here in Las Vegas, now, I find the level of service at restaurants less than adequate. The term TIPS stands for To Insure Prompt Service; however, most service personnel here feel that they “deserve” an enormous tip just because they are in the profession of waiter/waitress. While people in many states still earn the “tipped” minimum wage (at last check was around $2.15 per hour), People in Vegas are not subject to that minimum and get paid around $7 per hour. While I still tip servers here in Vegas, I have a set amount I start with, and adjust the final amount based on my opinions of how well the server performed. I have not been very lucky at finding servers that really care “To Insure Prompt Service”.
March 3, 2008 at 12:22 pm
Tipping is just the practice of paying certain employees directly instead of through their immediate employer. The economics of the situation doesn’t change much if the money flow changes.
If we all went on a tip strike against Starbucks, it wouldn’t be a big deal, because as the WSJ explains, Starbucks would simply have to pay its people more, and they would have to raise their prices to compensate. You’d be paying the tip money to Starbucks, and they’d be paying it to their employees.
Complications would occur to the extent people differ from the average. People who never tip (or leave small tips) would now be facing a fixed tip built into the price, so they might take their business elsewhere. (I.e. Their coffee purchases had effectively been subsidized by people who leave tips.) People like you who overtip would find the fixed tip to be something of a discount, so you might give Starbucks more business, and others like you might gravitate to Starbucks.
March 4, 2008 at 2:18 am
Fuck Mr. Pink - he is in Karmic hell as we speak. The WSJ argument would be compelling if it weren’t for government market intervention. U.S. labor laws allow employers to pay floor wages (much lower than minimum wage) to food service employees. I worked off tips as well (as a airport shuttle driver), so maybe that taints my objectivity, but there is a moral obligation to take care of the cats who take care of you.
May 19, 2008 at 7:17 pm
Tipping wouldn’t be so objectionable if it weren’t for the expectation. Have you ever tipped less then the server felt entitled too? I have, and I was chased down the street like I ran out on the bill.
Instead of appreciating the money a server gets, they feel entitled so a percentage amount. Fall short of what they think they are entitled too and nasty things are said behind your back, or even worse, your food may be tampered with should you return.
Tips should start at zero. If a server does an extraordinary job, you give them a little something to show you liked the level of service. Tips nowadays start at 15% and you go hirer to show appreciation. Even if one gets terrible service, you still feel obligated to put a percentage down… just maybe not more than 15%.
It is unfortunate that servers don’t get paid more, but tipping exacerbates the problem. Why would a restaurant owner pay more when the onus of wage shortfalls is picked up by the patron? Let the market set wages. If you don’t make enough doing what you do then go elsewhere. If good employees leave because the wage is not enough, then owners will pay more. If you are so easily replaced with another employee, then you are getting paid what your level of skill dictates.
To the shuttle driver. If you don’t make enough money, get a new job. You drive to and from the airport for Christsakes. Don’t blame the Government, blame yourself for accepting a position which pays less than you can live off of.