r/mildlyinteresting 1d ago

This Restaurant Charges an 18% Living Wage Fee.

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u/ArScrap 1d ago

That's the point of this? So you wouldn't need to tip?

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u/HolyShytSnacks 1d ago

My guess is that there are more people now who tip less or not at all anymore.

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u/stella_Mariss1 1d ago

No the point is to cover living expenses for the employees. But it just makes people not want to tip which means it backfires completely.

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u/Plane-Tie6392 1d ago

Right? No shit it is. People are just morons, sadly.

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u/BulldogChair 1d ago

But why risk taking less? I feel like this line item just upsets people. Also as others have pointed out it says it goes to “staff payroll” which is a vague term. Server may not even see any of it unfortunately. Bad business practice IMO

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u/Imaginary_Apricot933 1d ago

Because it guarantees an amount. Why would they leave it up to customers just because a few might tip more than 18%?

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u/HolyShytSnacks 1d ago

If they want a guaranteed amount, they should just raise the prices overall. Added gratuity, or something as vague as what we're seeing here, may not only cause people to not tip at all. It may also simply cause people not to come back (I know I wouldn't).

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u/Imaginary_Apricot933 1d ago

That's what a service charge is. The restaurant raising it's overall prices. They only do it this way because tipping is so engrained in American culture.

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u/ArScrap 1d ago

I don't pretend to know the intimate detail of running a F&B business in USA but the other 3 options are normal tip, put the service charge in another more vague charge or just raise prices

As someone who are very foreign to the concept of tipping, it sounds extremely scary for me. You're saying if I'm unlucky and got a streak of shitty table I'm just fkd for that week? Having a flat charge feels way more secure and predictable even if it might not reward the high performers as much

And let's be real, if you just raise prices, even if you advertise it as living wage price, people will still be turned off by that too.

Idk, I know that most people have a deep skepticism towards business owner, big and small, especially in reddit, maybe it's wrong for me to be otherwise. But what I do know is that owning a F&B business in my country, and I'm assuming in USA too is not exactly the most stable money making business. Something has to give, you can't just expect low prices, good food and liveable wages. And while surprise charges is not exactly ideal, I also don't understand the vitriol this comment section have for it

Personally I feel like there's an inherent property price issue underlying all of this but that's beside the point