Tips: Should Tipping be Abolished or Shared ?

Should tipping be abolished?: the question has been tormenting the restaurant community for years. In Europe, the reward for service is included in the bill at a uniform rate. When paying, the consumer is not surprised and doesn’t ask questions. But here, it’s a completely different reality and opinions on the question are divided.

Who has an interest in including the tip in the price?

In 2016, the Angus Reid polling firm interviewed the population on the idea of abolishing tips. The results show that 40% of Canadians agree with elimination of the tip if the amount of the service is included in the bill.

However, according to Dominique Tremblay, information agent with the Association des restaurateurs du Québec, consumers are not really aware of the effect that such a reform would have. “It the tip is included in the price shown on the menu, customers will have a surprise when they have dinner at their favourite restaurant,” she says. “The prices on the card will no longer be the same. A $25 steak will now cost $28, plus taxes. Even if in the end customers generally pay the same as before, they will lose the control over what they leave as a tip. However, customers always prefer having the choice of whether to leave a tip or not.”

From the room’s point of view, opinions are also divided. For Veronica, a barmaid who has worked as a waitress for a long time, including the tip in the bill would benefit the restaurant’s waiters. “Customers most often leave 10% as a tip for a service which you have provided for one or two hours. Including everything would alleviate this shortfall in earnings by increasing the percentage a bit,” she says. However, for staff behind a bar, there would be no benefit in eliminating the tip. If a customer tips poorly, you can provide him with minimal service to focus better on those who truly appreciate your work and reward you accordingly.”

In his view, Martin, who just started as a waiter, thinks the discretionary tip is a fair means to compensate for good work. “This lets waiters who do not have experience – but are excellent with customers – earn more money. Income from tips is related to skill and not seniority,” he explains.

Tip sharing

The other debate raging in the community concerns sharing of tips. At the moment, waiters are not required to share this income with the other employees of the establishment (cooks, dishwashers, hostesses, etc.).

The Association des restaurateurs du Québec is lobbying for owners to have the right to set up an agreement that requires room staff to pay a portion of their earnings (1% on average) to the other employees. “If the waiter who is in the room does not have a nice hot plate, in a clean dish, to offer the customers, he risks receiving a smaller tip,” notes Dominique Tremblay. “We advocate for teamwork and more equality in compensation.”

No law governs the distribution of tips, but the association plans to make its point of view known during the government’s consultation on labour standards this fall. “This non-distribution creates a lot of tension between the kitchen staff and the room staff,” explains the information agent. Most owners cannot simply raise the wages of the rest of the staff to settle the problem, since their margins are too tight.”

Martin experiences this tense climate with each service. “For the cooks, having a source of motivation aside from just the minimum wage would certainly improve the atmosphere in the kitchen. All the employees would be more positive if they knew they could increase their income by having good professional relationships and by doing their work conscientiously…”

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