Re: PDT 2/2 : Why has tipping increased?
[ QUOTE ]
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.
[/ QUOTE ]
I think this study would be interesting, but wouldn't really explain why tips have increased over time. I don't think the general population considers servers wages in their tip calculations.
I'd guess the main explanation for increased tips is the increase in credit card usage. People find it psychologically easier to tip money when writing a number down on paper rather then shelling out the cash. I'd even guess my tips are lower when I pay by cash rather then by credit card, and it's completely unintentional.
|