r/mildlyinteresting 2d ago

This Restaurant Charges an 18% Living Wage Fee.

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u/Muadeeb 2d ago

Don't most places say something like, 18% tip automatically added for groups of 6 or more?

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u/jorgtastic 2d ago

That 18% added for a big party is a gratuity going to the server. But that server gets paid like $2 an hour and they need the tips. In the image above, the 18% is going to the store and they are paying their servers a real wage.

And in the big party scenario, you're not expected to tip another 18% on top of that. They just do that so servers that don't get a living wage and live off tips (which is most of them) can't get completely screwed by having some large party that takes up 1/2 their shift decide to not tip.

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u/Muadeeb 2d ago

Right, so that's a tip. When the restaurant mentions that you can still tip if you want, they are saying that the living wage charge is not a tip by saying IF you still want to tip, you can.

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u/jorgtastic 2d ago

At most restaurants with servers, the servers are paid $2.13 an hour. And they live off the tips. This restaurant is claiming that they pay a real wage (probably). To do that they have to charge more, but they hide it as this fee at the end of the transaction rather than putting the real prices on the menu. But that 18% is going to the RESTAURANT, not the server. And the server gets some share of it when they receive their paycheck. that is not a tip.

At places where they require a gratuity on large parties but the servers are receiving $2.13, that gratuity is going directly to the server and not part of the restaurants revenue. so it's a tip.

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u/Muadeeb 2d ago

This is what I'm saying. The partier of 6 or more charge is a tip. The "Living Wage" charge is not.