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Old 11-30-2007, 02:26 PM
El Diablo El Diablo is offline
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Join Date: Sep 2002
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Default Re: PDT 2/2 : Why has tipping increased?

dean,

"Diablo, I'd be interested to see how the wages of servers v. the mean wage has altered since you were in college. I'd guess that servers wages have risen less in real terms that the general increase in wealth. This would be my explanation."

That's a big part of what I'm wondering here.

If we look at the following factors:

Restaurant sales
Server fixed wage
Server tip

What is (Server fixed wage)/(Restaurant sales) now vs. 20 years ago?

What is (Server fixed wage + Server tip)/(Restaurant sales) now vs. 20 years ago?

I'm curious if the overall labor cost for restaurants has stayed at the same percentage, of if the restaurants have reduced labor cost as a percentage of expenses by keeping the second number constant, taking advantage of the increase in tips to pay their employees less.
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