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    Daily Brew

    More Canadian restaurants start tacking on an automatic 20 per cent tip to your bill

    You don't have to live in Toronto to pay attention to the city's flap over restaurant tipping. These trends tend to migrate.

    The Big Smoke is currently wrestling with a controversy over the practice by some restaurants of prompting an automatic 20 per cent gratuity to the bill, whether you were happy with the service or not.

    The National Post reports two new restaurants, the Westerly and the Ace, are adding the automatic tip percentage on handheld electronic terminals.

    The Westerly's co-owner Tom Earl says it's not compulsory but up to diners whether or not to OK the amount as they complete the transaction.

    "Nobody's demanding that anybody tip anything," he told the Post. "It's a personal decision. If [customers] want to, they can. If they don't want to, they don't have to."

    The commonly accepted tip these days is 15 per cent, more if you find the service exceptional. The recent move is drawing kudos from restaurant servers, who point out 20 per cent tips are customary in large U.S. cities such as New York.

    "But while Toronto servers earn a minimum hourly wage of $8.90, waiters in the Big Apple only earn $4.65 per hour 'because their total compensation includes expected tips,' according to the New York State Department of Labour," the Post says.

    Of course, in a flush town like Calgary, big tips are more common.

    "Eighteen to 20 per cent is easily the norm," said Janet Watson, an Alberta-based etiquette expert. "Some people tip 25 per cent ... I don't know anybody who tips 10 per cent anymore. Fifteen per cent is the bottom line here."

    In Vancouver, Cafe Medina manager Robbie Kane says his eatery assigns an 18 per cent gratuity to groups of eight or more. During the 2010 Olympics, many Vancouver restaurants and bars apparently added 20 per cent tips to the bill.

    Server Aidan Johnston has worked in Australia, where the hourly restaurant wage is $19.50 and tips are small "keep-the-change" gratuities, and in Toronto, where the minimum wage is $8.90 an hour but a good server can earn up to $200 a night in tips.

    "I like the excitement of getting tips," Johnston told the Toronto Star. "It's like opening a Christmas present when you see that billfold."

    The Star reports that the low-wage, high-tip model is unlikely to change because restaurants operate on thin profit margins. Raising pay to Australian levels would raise
    menu prices and remove some of the incentive to provide excellent service.

    "Is Joe Consumer willing to pay 20 per cent more for a meal and have not great service?" asks Todd Sherman, co-owner of the Gabby's restaurant chain.

    Some places take the compulsory tip practice very seriously. An American couple was arrested a few years ago for refusing to pay the automatic gratuity tacked onto their bill after getting poor service. Leslie Pope and John Wagner were hauled away by police and charged with theft for not paying the mandatory 18 per cent gratuity totaling $16 after eating at the Lehigh Pub in Bethlehem, Pennsylvania, with six friends.

    Police later dropped the charges.

    How do you feel about restaurants that tack on an automatic tip to your bill?

    (Reuters file photo)

    What do you feel about this article?

     
    • A Yahoo! user  •  Kingston, Ontario  •  1 month 18 days ago
      You add a tip to my bill and you get ZERO!
    • my opinion  •  Charlotte, United States  •  1 month 18 days ago
      I refuse to pay extra for just ordinary service. Tipping is FOR EXCEPTIONAL service above and beyond normal. ANY place that attempts to charge me automatically will never see me again. Tracy and A Yahoo user said it right.
    • Tracy  •  1 month 19 days ago
      Honestly, I hate the whole concept of tipping! Restaurants, hair salons, hotels, etc. should be responsible for paying their employees properly just like any other industry. Why should we have to pay handsomely for the goods and pay for their cost of doing business too??!! I always tip a minimum of 15% and I feel that it is very rare that I don't receive satisfactory service. I tip because I realize that this is the only way these folks are ekking out a meagre living, but I don't agree with it at all. We've been brainwashed into believing that this is an acceptable way of conducting business. Why not tip the bank teller? The grocery clerk? The counter server at McDonalds? Hell stop by my office and tip me too!! I don't agree with this article that restaurants are working on tight margins - when I'm paying an average of $16 for .55 worth of pasta I don't buy that they're not making enough money to pay their servers properly for their jobs. Enough is enough!!
    • my opinion  •  Charlotte, United States  •  1 month 18 days ago
      In 1976 my Father bought a restaurant, put up two signs. NO smoking and PLEASE no tipping. His business went up 7 times over previous owners in less than 30 days. He paid his help double the going minimum wages plus some quarterly bonus's. Had almost zero turnover during the 7 years he owned it. I was too young to take over when he died and the new owners put ok to smoke signs up and tipping appreciated signs up and within 6 months were out of business.
    • knh959  •  Victoria, British Columbia  •  4 months ago
      While I don't mind paying a 15 or even 20% tip, I want to be the one who decides, not the restaurant.
      • MICHAEL P 4 months ago
        I especially like the comment that the person being served the meal should be the one who decides on a tip not the owners. It should be against the law to charge a tip - and how many times is the food or service good enough to even be considered giving extra. Those American cops arresting people for not paying a tip on the bill should be doing jail time themselves for such stupidity.
      • Just me 4 months ago
        Chances are, the manager who called the cops probably lied and stated that the couple didn't pay at all thus the theft charges. The cops were doing their jobs. The person who should be doing jail time should be the idiot who called the cops in the first place for that stupidity. I believe the charge would be 'filing a false police report'. Glad the charges were dropped and I hope the couple sue the restaurant for that nonsense.
      • Text Messages 4 months ago
        Sorry 'Just me' but I have no doubt that when the cops arrived the patrons told them exactly what was going on and the cops arrested them anyway.
    • Marg  •  Montreal, Quebec  •  4 months ago
      as a former server...I will absolutely not pay an automatic gratuity...I had to earn my tips and I expect every server to give excellent service...I can forgive mediocre food if I have excellent service...I cannot forgive poor service regardless of how good the food may be...I am 57 and up to less than a year ago, I worked as a server...I rarely had less than 15% as a tip...of the meal price..not the taxed price!!! keep an eye out for that little scam...
      Marg
      • Don B 4 months ago
        I think most of us can appreciate this post. I don't think it is right to take your frustrations out on the server for something that is the kitchen's fault. I've actually given cash to a server when I paid with a credit card so they didn't have to tip out.
      • wayne.funk 4 months ago
        Good girl Marg!!! Every person needs to spend one week in the service industry!
      • C.Monkey... 4 months ago
        Don, servers tip out a percentage of their sales, it's not based on their tips. Nice thought and all but the kitchen staff, busers, table runners and bar staff work hard to make a server's job run smoothly, they are behind the scenes sometimes but no less deserving of that tip out.
    • ren  •  Ottawa, Ontario  •  4 months ago
      if it's a tip it can't be "mandatory". the server gets what they are given, case closed. go ahead and arrest me.
      • Wendy 4 months ago
        I think in the States, the laws are very different. I live among American expats now and all of them are over the top tippers compared to Canadians in general. It's a completely different culture.....
      • Mr.Bubbles 4 months ago
        I'm with you Ren. Let's go out for dinner and cause a stir. I'll buy.
      • Podium 4 months ago
        Wendy, you "are" aware that in the USA the minimum wage for the waiters is much lower than in Canada. Thus the little higher tip.
    • NewGuy  •  Dryden, Ontario  •  4 months ago
      Restaurants should not be allowed to add any tip to the bill unless it is clearly stated on the menu and it should also be displayed clearly as you enter the establishment so customers can make up their own mind whether they are prepared to eat there. Personally I think it should be entirely up to the customer to determine whether there should be a tip and how much it should be.
      • Bob 4 months ago
        Tips should be included into the total price of the meal or drinks like they do in some places in Europe. Then no problem about how much to pay a server?
      • A Yahoo! User 4 months ago
        you must be freezing your nuts off up there.
      • Sgt. Pepper 4 months ago
        I'm near Dryden...it's pretty friggin' cold alright!
    • lumpee  •  Brantford, Ontario  •  4 months ago
      I will boycot any restaraunt with this policy in place and I hope my friends do also.
      • paul 4 months ago
        I was charged an automatic tip in Lake Placid almost 30 years ago & I have never been back there.
      • Damon 4 months ago
        "Lumpee" I don't think they care weather you boycott them or not!
      • JD 4 months ago
        Me too!!!
    • Inacoma123  •  Vancouver, British Columbia  •  4 months ago
      Excuse me..but I will NEVER eat at any establishment who tries to blackmail me - if the service is exceptional..fine. But I refuse to pay for rotten service. They are simply passing on a wage increase.
    • sunset  •  Sault Ste Marie, Ontario  •  4 months ago
      Let's see now and look back a few years when things made more sense. Giving a tip used to be a reward for exemplary service. Now, if the staff gets it regardless, even if you are given crap and treated like crap, there is no reason for restaurant staff to even try to please you. It's no more complicated than that folks. When they slap me with the 20% I'm not going to pay it. They can call the cops and put me in jail over "theft" like they apparently threatened one individual already. Let's just plug the court system with our refusals.
    • Frenchie  •  Vancouver, British Columbia  •  4 months ago
      If they are automatically putting 20% onto the bill then i should be able to take 20% off the bill. seems fair. i worked in the resturant industry it sucks, but if the customer doesn't want to tip because they are on a budget or whatever then fair enough. its the customers decision to pay more.
    • Helen  •  Kitchener, Ontario  •  4 months ago
      Tips cannot be compulsory otherwise they are not tips; tips( rewards) for good service should be given directly to the server. If added to the bill, there's no guarantee that the server will benefit. Even if such tips are pooled, some undeserving server will profit.
      Mississauga resident
    • To  •  Calgary, Alberta  •  4 months ago
      that's BS not everyone deserves a tip and since when was 20% standard? i tip 10-15% if they do well maybe more if they are exceptional and none at all if they do not do a decent job... This should be illegal
    • cn  •  Ajax, Ontario  •  4 months ago
      I will tip if I want to, and whatever I want. End of story.
    • rockhardugly  •  Burlington, Ontario  •  4 months ago
      the fact that someone automatically expects a tip just because they are doing their job properly is the reason I won't tip. if you want a tip, provide service that deserves one. the first time i see a tip charged to my bill i will absolutely not pay it, and i will be quite vocal about it at the cashiers. boy this kind of BS really pi$$es me off!
    • Rodney W  •  Centro, Mexico  •  4 months ago
      Compulsory tips aren't tips. If there is a standard service charge, then it has nothing to do with the standard of service. If such charges are obligatory then they should be included in the prices of items on the menu. That is straight up and fair. Anything else is wheedling and dishonest and would dissuade me from going back to the restaurant or perhaps even eating there at all.
    • talon_greywolf  •  Toronto, Ontario  •  4 months ago
      A tip is supposed to be additional payment for good service/food. It's not supposed to be expected no matter what you get. Otherwise, that would be just charging more for the price stated. I don't think anyone should be expected to tip 10% or 15%...it should be whatever the customer wants to tip. Hey, it could be ZERO if the food/service/everything else was absolutely terrible. I absolutely disagree with mandatory tips of any percentage other than 0 !!
    • Dan  •  Winnipeg, Manitoba  •  4 months ago
      I will not patronize any restaurant that practices this. It is an ambush, and not worth the fight to have the tip rescinded or reduced.
    • Paul  •  4 months ago
      They don't tip at all in Australia. Why not just pay people a fair wage and not expect them to live on charity?

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