Observations From A Tipless Restaurant

[TalkingDog]

http://jayporter.com/dispatches/observations-from-a-tipless-restaurant-part-1-overview/

The Linkery’s most transgressive act was not in implementing a service charge. Our most transgressive act was refusing to allow our guests to pay our servers anything more beyond the service charge — this is where the angry came out. A certain small number of very vocal men (and it was always men) resented that we were not letting them try to exercise additional control over our team members. This was true even though compelling research has shown that servers do not adjust quality of service as a result of tips; instead the idea that the restaurant was not offering our servers up as objects of control, was heresy. For these people, the primary service they wanted from the restaurant was the opportunity to pay for favors from the server — much like the patron at a strip club pays the club for the opportunity to dangle bills in front a dancer for individual attention. The idea that a restaurant could legitimately want to be in a different business than a strip club, was not an idea these guests could countenance. Thus, I was ever subject to witty takedowns like you are a douche, along with other well-thought-out gems.

snip

Once established, the tipless/service charge model made us more successful in every dimension. Having a sister restaurant that used the traditional model was helpful in evaluating this — at our second restaurant, for instance, we could never achieve a consistently high quality of service. We believed the block came from the sense that, once the guest delivers a tip, the quality of service has been validated — even though studies clearly show that, across a large sample, guests tip basically the same regardless of quality of service. Meanwhile, our revenue was always higher at the tipless restaurant, I think because quality of food and service were both better due to the more consistent pay system (which at the Linkery was much closer to that of a normal, non-hospitality business than that of most restaurants, where server pay varies with a lot of randomness). With higher revenue and more consistent pay system, our retention was better. This continued to be a “virtuous circle” of benefits we saw from having a tipless/service charge model. On a personal level, it was much more fun to work with the non-tipped team; in that environment it was easier to build a focus on doing great, worthwhile work, and doing it well, when those thoughts weren’t being interrupted every couple minutes by a guest deciding how much to pay a team member for their last few minutes of services rendered.

[Little Star]

1. This use to be waitress calls bull shit on this model......

I found that most of us worked much harder for our own customers when working for a good personal tip. That was our incentive.

Plus, I worked with many wait-people who did as little as possible with the side work, like cleaning up in our back work area, cleaning & refilling salt & pepper, sugar holders, etc., etc., etc. at the end of shift. Lots of slackers who let others carry their load.

jmho & experience.

Edit to add: Sure this model may work great for the owners or in places that have a tip jar on the counter. But for actual restaurant wait-people, not so much.

[OrwellwasRight]

12. You are actually making the author's point.

By maximizing behavior that you perceived as maximizing your personal tips, you were diminishing the overall experience of the guests and reducing the likelihood they would be a repeat customer. Having salt & pepper and a clean restaurant environment are important to the guests, and by ignoring those tasks, an individual server may think it helps him or her, but it doesn't enhance the whole dining experience. If you read all six parts to the post, you will see how the author explains that inter-staff rivalry created by the tip system doesn't actually create "better service" for the customer. He also makes us question why "wait staff" (70% of the time women) are expected to need tips to perform well while doctors, lawyers, etc. aren't. It's a control function, a chance to punish much more than it is an accurate reflection of actual quality of service provided. It also punishes customers perceived to be bad tippers.

I've never had a job where my performance would have been any different based on the chance of extra money. I perform to my best because it is the right thing to do, and have off days like everybody else. And, as the author points out, most of his staff is like that as well.

[JayhawkSD]

2. Interesting subject

Interesting that someone would "call bull shit" on the description, not of theory, but of actual experience.

I actually tip based on the level of service; 15% for fair to average service and up to 25% for really outstanding service. For poor service I might tip less than 15% but it would have to be really horrible service. I would sort of miss the opportunity to reward someone who greatly enhanced my enjoyment of a meal, but I most certainly would not hassle the restaraunt owner about it.

I don't doubt that managing a tipless restaraunt might be a more pleasant experience than a traditional one, and that it might have its advantages, but there are a few points with which I would take some exception:

"...even though compelling research has shown that servers do not adjust quality of service as a result of tips"

Cause and effect are being confused here, I think. "As a result of tips" seems to suppose that all customers are not only repeaters, but repeat with the same wait staff and with sufficient frequency that the wait staff remembers not only the customer but their tipping habits. That strikes me as stretching reality rather badly. The level of performance is more based on anticipation of tips, and may be poor if the wait staff sizes up the customer and assumes they will not tip well, or the converse. I have seen that happen, actually.

"...instead the idea that the restaurant was not offering our servers up as objects of control" is sort of an odd statement given that you are using the word "servers." Asking my server for a clean fork, or to bring me a glass of water is "control?" What are they there for and why are they called "servers" if not to meet my requests? I'll happily get up and go get my own fork and a water pitcher to refill my own water glass as I do at home, but then why are the "servers" there?

"the primary service they wanted from the restaurant was the opportunity to pay for favors from the server — much like the patron at a strip club pays the club for the opportunity to dangle bills in front a dancer for individual attention."

I'm sorry, but that's just wierd. You been running a Hooters or something? Comparing The Prado Restaraunt, or Fisherman's Wharf to a strip club is just strange.

[nil desperandum]

3. Interesting series to read and contemplate

This is an interesting topic because you bring up some important points about minimum wage, and minimum wage style jobs. I am not in the restaurant business, but I work in a manufacturing business where some components are commodity items so I am aware of the challenge of running a business where the net is around 3-5% after everyone gets paid....it's great if you are making 3 billion gross a year, not so much if you are in the 3 million gross range as it doesn't leave much to capitalize your small business improvement needs or generate wage increases to keep pace with the cost of insurance benefit increases and such.

I'm not certain about the observations of the social model for tipping, I don't think about waitresses as flirting with me and I don't much care about punishing anybody. I just like to eat someplace comfortable with decent food....

If the food is good I'll be back,if it's not I most likely will be a one and done customer. I would probably prefer a no-tipping model where I just paid about 20% of the bill as a service charge if I knew legally that money compensated the staff and not the ownership. It's certainly a compelling read and an entertaining perspective on the business.

[BlueJazz]

4. I tip 25 percent, minimum 2 dollars. Always have...always will.

A waitperson might just be having an awful day....so the 25 % rule stays. (for me)

[Fumesucker]

5. Were they only using women for wait staff?

If so then perhaps they aren't quite as progressive as they are making out and if not then why would men want to control other men?

I suspect some of the resistance to not tipping from customers is that they are sure the wait staff will think them cheapskates if they don't tip, tipping the server is very ingrained in American culture.

[Squinch]

7. What makes you think they were employing only women as wait staff?

[Fumesucker]

8. The comment about lap dances sure seemed to be sexual in nature

And how it was always guys who _had_ to tip. A lot of men don't want to look cheap in front of a woman but would probably not feel the same way so strongly with another man.

This is particularly true if the woman is attractive and personable.

Yes, we are so shallow you couldn't get your ankles wet wading in the oceans of our souls.

I'm guessing attractive and personable young female wait staff and some guys who just can't bear to look or feel cheap in front of them.

[Squinch]

9. The article doesn't say anything about employing only female wait staff.

I don't think it meant to imply that they did only employ women. He is saying that the tipping is LIKE paying for strippers and thus gaining a feeling of control over someone else. And the fact that it is always men who have a problem with it doesn't mean that the wait staff was only women.

In my many years in jobs as wait staff when I was younger, those who were assholes liked to feel like they were controlling the male wait staff just as much as they liked to feel they controlled the female wait staff. Tossing around the money and letting everyone know they were doing it was about their own image and primacy, not about the females. Comments and grabs were about the females. The money wasn't.

[marble falls]

6. This used to be waiter calls Bullshit, also!

[ConcernedCanuk]

10. Damm - my brain thought "Topless"

.
.
.



CC

[Gormy Cuss]

11. Great essay.

I read all six parts and the postscript. Parts 5 and 6 are the most interesting, where he delves into sexism and racism and how it's enhanced by the tipping system.