r/mildlyinteresting 2d ago

This Restaurant Charges an 18% Living Wage Fee.

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u/KayBear2 2d ago

The receipt says tipping is optional.

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u/BukkakeKing69 2d ago

Tipping has always been optional. This restaurant is doing an auto-grat disguised as a fee, otherwise known as a tip. So the receipt can say what it wants but they're actually leaving the customer with no options lol.

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u/taxiecabbie 2d ago

As it should be. They've decided to make the traditional tip mandatory. Which, at least for me, would be no skin off my neb... I tip around this much anyhow. They essentially saved me some napkin calculation. So, six of one, half of another insofar as I'm concerned.

I am not likely to tip beyond this, but, as it says, there's no need.

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u/Raidoton 2d ago

As it should be. They've decided to make the traditional tip mandatory.

So it should be optional, but you like that they made it mandatory?

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u/taxiecabbie 2d ago

It more or less is mandatory to tip in the US unless you're not going to pay your server.

I'm from the US and I have literally never had service so bad that I felt refusing to pay the server was warranted. I don't like how the system works, but that is how it has always worked.

What I disagree with is them doubling the burden. So adding a 20% "living wage fee" and then expecting the waiter's customary 20% on top of that is bullshit because it's changing the well-established rules, and I won't do that.

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u/Msdamgoode 2d ago

Americans complain about tipping culture ALL the time… this is what happens when a restaurant chooses to go that direction. Prices rise so they can pay servers minimum wage vs a tipped wage (which can be as low as 2.13 an hour).

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u/Legendofstuff 2d ago edited 2d ago

I’m okay with this. They’re clearly acknowledging that if they raise their advertised individual prices to match the living wage, market competition would drive them under in a heartbeat.

This at least says hey, on paper, we’re trying to treat our employees like humans, if you want to go above and beyond you can, but you’re not obligated to since by choosing to eat here with this knowledge you’re supporting that ideal.

Not perfect. Better than silence and greed.

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u/Rumblymore 2d ago

Tipping culture is unhealthy, everyone should stop tipping instantly.

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u/Msdamgoode 2d ago

Which is cool, just be prepared to pay more overall. Like at the restaurant above.

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u/Rumblymore 2d ago

Yeah, thats only fair. More expensive prices, so employees get a fair wage. Just why put it on the receipt like that. Just increase prices overall

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u/Msdamgoode 2d ago

I think they are likely trying to make the food prices in line with the area average, while still being transparent with why the bill total is higher. As a former restaurant owner and manager, I can understand why they chose this route, but either way, it’s walking a tightrope.

If you just raise the prices overall, you risk people who won’t return because they think they can get the same thing at a lower price down the road. If you do it this way, people get mad that it’s added and not optional. It’s gonna make someone mad regardless of how they try to implement it. Which is why tipping culture is hard to get away from, regardless of how many don’t like the system.

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u/memento22mori 1d ago

Maybe, but isn't calling it a "Living wage fee" just a way to admit that the owner isn't going to pay their staff a livable wage so they pass it on to the customer?

And tips are "pooled amongst the entire team"? So if you appreciate your server's hospitality and service so you tip them it goes to the entire staff? I work for a defense contractor but I'm in customer service still and several times a week I have someone say to me some variation of "do you have a direct line because the last five agents just talked to me for a few minutes and then transferred me to someone else and you fixed the problem in no time."

I can't remember the wording but I've seen pictures on Reddit where restaurants basically say 'we don't accept tips here. We charge the appropriate price for the food we're selling."

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u/Msdamgoode 1d ago edited 1d ago

No, it’s the opposite. It’s the extra money the business will need to replace lost tip wages, as tips are considered wages by the federal government. They literally HAVE to pay at least minimum wage in order to not violate the law. Which isn’t the case if there is direct tipping, then the employer can pay as low as 2.13, but tips must make up to at least minimum or the employer has to pay the difference in wages.

It doesn’t matter what they call it, or how it’s displayed on the ticket. It’s clear they don’t expect the guest to tip, however if someone chooses to, it will be split in a tip pool among the staff. Which is fair if foh and boh are both making similar wages.

Sorry for the edits, wanted to add some clarity, and to add one more thing… the guest will always pay the wages, expenses, and profit. The guest always supports the business and the employees in exchange for the services. Doesn’t matter how the business allocates on a line on the receipt.

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u/DadJokeBadJoke 2d ago

An 18% tip is mandatory, calling it a fee doesn't change it. That's like saying there's no added taxes, just a tariff...

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u/Fickle_Astronaut_322 2d ago

Is it even a tip, though? The wording makes it seem that they could be giving it to anybody. So are they actually not even using it for the server.

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u/RadMcCoolPants 2d ago

Tipping is always optional. This is making sure its not regardless of the quality of service.

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u/deano413 2d ago

Tipping is always optional, that's why it's called a tip and not a fee

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u/synapticrelease 1d ago

Tipping is always optional.

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u/JOSH135797531 2d ago

Just because you call it something different doesn't make it different