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Jobs that have a high component of tip income, generally tend to be low wage (total comp), seasonal, have high turnover, employ younger workers (again, generall
by rbcgerard 10y ago
Jobs that have a high component of tip income, generally tend to be low wage (total comp), seasonal, have high turnover, employ younger workers (again, generally), and are transaction oriented.
With the above in mind it makes sense to use tipping to align enployees and management in a situation where management can't spend the time developing/micro managing its employees
You think the average teenage valet is going to run for your car on a hot day if there is no tip?
- facepalm 10y agoIf it is his job, he will run for the car. Otherwise he'll lose his job?
- golergka 10y agoHe'll lose his job in a month, when a distracted and overworked manager finally decides he's had enough. But since he only wanted that job for a couple of months, he doesn't care about it. But a tip is something he's going to get here and now. Much better for immediate motivation.
- zip1234 10y agoI would agree except for the fact that tips have been found to largely not correlate with performance. http://freakonomics.com/2012/12/28/do-we-really-tip-based-on-the-waiters-service-2/ http://freakonomics.com/2012/12/28/do-we-really-tip-based-on...
- rbcgerard 10y agoI totally agree that there is a tremendous amount of variance in what people actually tip (in the case of the valet, it can literally depend on the amount and denominations of the cash in one's pocket), but I think it does matter in tail cases, and I would hazard that the providers of the service know this as well...at least providing incentive not to be awful or to be excellent (for those so inclined)
- rubidium 10y agoThat link doesn't provide any facts to back up your claim. As someone who has worked in the food industry, tipping is definitely correlated with performance (among a couple other obvious factors).
- zip1234 10y agoYep, sorry about not good link. Here is better one: http://www.tippingresearch.com/uploads/managing_tips.pdf http://www.tippingresearch.com/uploads/managing_tips.pdf Yes, there is a correlation, but it is extremely weak.
- jbmorgado 10y agoThe way you talk, is like if basically the all rest of the world didn't had a functioning commerce without tipping. Then again, it's also the typical mindset of the common American about everything else that works great in the rest of the 1st world but for which the average American keeps finding excuses not to do. I.E.: Universal Healthcare, Free Access to higher education, Gun Control, Light Drugs Legalisation, etc.