[thechat] Tipping help

Erika Meyer emeyer at lclark.edu
Mon Feb 3 12:51:00 CST 2003


Service industry jobs are always low-paid.  How low varies from state
to state... I knew of some way in Nevada they used to get around
paying minimum wage to servers in some places with the idea that they
could work for tips.  (When I was there minimum wage was $4.25 but
servers could earn as little as $2/hr).

But I worked as a hostess (no tips) made $8/hr and then a waitress
with tips +$4.25/hr and the waitress job far better money.

You have more autonomy when you work for tips because if you are
good, you can seek out places of employment where the tips are likely
to be large.  You can make big tips at a 5 star restaurant, but this
business is probably not paying its maids or other service people
much better than "Joe's Dive" next door.  It's all about tips.

The unfortunate thing is that some "jobs" for example, sex industry
jobs like stripper jobs have gotten to the point where they stop
paying a wage, classify the person as an independent contractor...
and so she only works for "tips."  Then the strip club demands a
nightly fee from the stripper (even though she's the attraction to
the club) plus she has to tip out all the other employees.  Am told
strippers often have to pay out as much as 50% of their earnings.

It gets messy because the IC/employee thing is quite distinct as far
as the IRS is concerned but a lot of employers try to have it both
ways.  Treat the IC like an employee but not pay him/her a wage.
Uncool.

So while I agree it is better that jobs be well compensated, tipping
can be incentive to a worker to do a better job, give better service.

Employers will usually try to get away with paying as little as
possible.  And a non-tipped employee may try to get off with as
little effort as possible.

So I'll make the effort, and I'll want to get compensated for it.
I'll take the service job that involves tips over the job that
doesn't.

Erika

>http://www.tipping.org/
>
>I was talking to some restaurant owners here, and they told me that waiters
>are paid less *because* they make a lot of money from tips. Chicken, egg, etc.
>
>Personally, I'd prefer just to pay my staff a decent wage than to keep them
>wondering how much money they'll make this month.
>
>In India, it seems that a far more profitable job is to be a valet parking
>attendant at a 5-star hotel. They get a LOT of money in tips.
>
>Madhu
>
--
=~=~=~=~=~=~




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