The tipping point? As restaurants pivot to a 'hospitality-included' model, the debate over gratuities continues

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Studies have shown that the prospect of a gratuity can be wielded by diners to bullying, predatory or prejudiced effect, and several high\u002Dprofile restaurants, identified tips as an ongoing problem for staff

Burdock is raising prices, while Ten is adding an automatic 18 per cent surcharge to bills; both restaurants aim to better compensate their employees and provide, as Burdock put it in a statement, “a predictable living wage for our servers and kitchen staff during these unpredictable times.”

But in light of changes due to COVID and widespread anti-racism initiatives, an era without tipping may be on the horizon once again. Coplan is also the co-founder of Not 9 To 5, a non-profit dedicated to helping restaurant workers deal with the pressures of the job. He sees the issue of tipping, principally, as one of wellness.

“You are simply never going to make as much money as a server without tips,” one restaurant manager in Toronto said, on condition of anonymity. “First of all, their new wages are taxable, and most servers don’t accurately report their tips: it’s cash in hand, and that’s the appeal. Secondly, they are guaranteed to work less.”

 

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Quick way to lose business. I won't pay $20 for a salad that cost me $16.99 yesterday. There is no guarantee that part of that money is not going into the pockets of the owner as a 'handling fee'. This will only create an unrealistic expectation for service.

An 18% surcharge is an automatic tip! And usually charged on included tax I may ad. I don’t have the answer but all industries and all sectors want to pay their staff more. I’m in manufacturing, how bout an 18% “fee” on your bill! Doesn’t make sense

When restaurants realize just how receptive people are to this model, most will move quickly to adopt it. Consumers will just factor this in to the cost of dining, be glad that workers are being better compensated, and if a business is well managed service levels won't falter.

If your job is to bring food from one point to another and take an order, don't expect a 6-figure salary. Anyone can do this job.

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