Wow, you really don't like restaurants service staff do you? I'm pretty sure that attitudes like that are the driving force behind the industry's high turnover rate!
The reality is in the US those jobs that receive tips are some of the prime jobs at the lower end of the spectrum because of the earning potential. I don't think most people who work for tips would like to work for minimum wage as it would be a significant pay cut. So suggesting they should just pay them all minimum wage is not a very good idea at all.
I'm pretty sure it has more to do with the transient lifestyle of the people who have those kinds of jobs. Generally college students who are in town for a semester or trying to save up some extra dough during the summer for when college does start. I'm sure it has little to do with the customer. So... do you tip everyone one who serves you? And if you don't, why not?
I am not very knowledgeable in restaurant business. But waiters getting 2.5$ etc isn't true (its illegal if they get it so low). In fact waiters (I call them servers) make killing income if they get in good restaurant. I had colleague who used to work as server in evening after his day job of software engineer (which pays decent enough already). He used to make up to 200-400$ an evening. I generally leave 10-15% tip. 20% is way too much (at least for me). (By the way how many people who get tip actually report it in taxes? that could be very interesting)
In the US it is true. Waiters and bartenders have a minimum of wage where they make like $2.35 an hour. Very few establishments pay more than that, as they expect these employees to make almost all their income via tips.
Wait staff/server jobs are sales jobs. A server has a single job to the customer - to service them, and three to the restaurant - to get a returning customer, to upsell, and to turnover. A good server can upsell a bean buritto with a Diet Coke to a bowl of gezpacho, Pittsburgh steak (with Montreal crust of course), white asparagus, garlic mashed, Perrier water with a bottle of Elderton Command Shiraz, and a sacher torte with a swirl of rasperry mouse. Most sales jobs are comission based. Tip is a type of comission in my book. Sales performace compensation therefore commensurates through tips. And now I am off to eat some steak. Don't bother me.
I have a friend in Arizona who used to work at a restaraunt. She wasn't a waitress -- she was the hostess -- but her friends who did work on the service staff only made about 2.50 an hour or so (not including tips, obviously.) California's minimum wage is 7.50/hour, and supposedly it will increase to 8.00/hour in January of 2008. Minimum wage is a joke though. How many people can live on that little income? (Especially in San Diego... geeze.)
That's cuz its a tipped industry. If a waiter/waitress does not end up making the minimum after its included; the company is obligated to cover the difference. But, most waiters/waitresses are smart enough to only claim the amount of tips to meet minimum and pocket the rest as untaxed income, especially cash tips. Not sure how they figure CC tips on paychecks these days.
Honestly, if the sytem was abandoned and a no tips system with higher wages was introduced, would you support it? I tip, usually 20%, but I would prefer a different system, that is, even though paying the same overall price, no tipping, maybe change, when appropriate, but only because I hate coins. Again, higher wages, I don't want to starve waiters, but no need to tip no matter the service, as it is now...
Just to add to the discussion - today I had comcast cable technician came to fix/replace the cable box. I offered him tips knowing that he came on Sunday (and Monday is holiday - so otherwise I had to be without TV till Tuesday). He declined very politely - I am very impressed. On the other hand I hardly remember any server who was really up to mark and attentive (I go out to eat a LOT)
I get a crack out of the common question when you order coffee. "would you like creamer?" which I always so no to, yet 99% of the time I get creamer. I always tell the people I am with "watch I will get creamer" and I do. Not that they aren't attentive, it is just that most people ask for the creamer, so I think I am the odd ball in that situation.
Over 5 years ago, I used to be a waiter. You are the type of person who makes the job fun and less stressful for the servers. The money isn't the only idea. Knowing the customer was happy used to really make my day. Good memories come from some of those long shifts. All current and former waiters, in some way, say "Thank You." ~~~~~~~~~~~~~~~~~~~~~~~ /Beware most restuarants are not 100% clean, and some busy servers will stick their dirty hands into 'bins' of veggies because they are too lazy or rushed to use a 'tongs'. When making your salad. Your Food Safety: Here's a hot 'tip' //#1 Best restuarant for cleanliness and safety (based on over 5 years experience, and as of ~5 years ago) is Romano's Macaroni Grill (Northern Italian food, great prime-grade steak, very very clean, and fun too.
I think it's strange that tipping is required...waiters should just get paid a decent wage instead of $2-$3 an hour but I guess it's such a shitty job, employers could not encourage new employees...so this ensures that people will be interested in the job and get paid on top of their wages. Dumb yes, but 20% is standard. I usually pay $1 for $10 spent, $2 for $20 spent, etc..
The problem is servers EXPECT you tip 20%. I'm sorry, but simply walking to the counter and bringing my meal isn't service that's above and beyond. If the server is doing a good job (filling drinks, checking in), I'll tip 20% (a little more if there's a group obviously). However, poor servers will get a small tip. As to their wages, I couldn't care less. My reason for tipping is APPRECIATION only. If they aren't making much in their job, that's none of my business nor concern. Overall, I'd say I tip 20% about 90% of the time as I don't visit establishments with poor service. But, there's the occasional bad visit. I usually visit places with great servers and I don't have any second thoughts about leaving them 20%. Oh, if I'm eating breakfast somewhere and it's a cheap meal, I'll tip more.