Shocking: 90% of Americans Believe the Tipping Culture Is Out of Control

An overwhelming majority of Americans believe that the tipping culture has gone out of hand according to a new WalletHub survey. Many shoppers and diners across the United States have recently taken to social media to complain about the predatory tipping culture that does not even account for the quality of service.

Initially, Americans were only required to tip waiters/waitresses and bartenders for good service. However, is now even required for self-checkout counters where shoppers are slapped with tipping screens sometimes with pre-filled percentages or amounts. Sometimes, the minimum tipping amount provided on self-checkout screens also exceeds what many Americans are willing to give.

“More and more establishments where you wouldn’t normally tip are asking for something extra at checkout, and people are even being asked to tip self-checkout machines with no human interaction,” the study found.

Subsequently, nine out of ten Americans (90%) believe that the tipping culture has spiraled out of control, compared to 75% last year. Similarly, 55% of Americans believe that businesses have shifted the responsibility of employee remuneration to their customers through tips. 

Unrelated to the study, many Americans feel that businesses should pay their employees living wages instead of aggressively requiring their customers to tip to cover worker salaries. Over 6 million workers rely on tips to cover their salaries, sometimes earning less than the minimum wage. Only seven states require tipped workers to be paid a minimum wage regardless of what they make through tips.

The study also found that more than eight in ten (83%) Americans believe automatic service charges should be scrapped. This makes sense as tipping or service charges at automated self-checkout stations basically amount to paying for the labor that you are providing yourself. Surprisingly, more than a quarter (29%) of Americans also believe that tips should continue to be taxed as they are now while 71% believe employees should keep the whole amount. President Trump has promised to end taxes on tips to ensure that service workers keep all their earnings.

Ironically, more than a quarter (29%) of Americans tipped less when presented with tipping screens while only 12% tipped more. Subsequently, 40% recommend instant employee rating screens to help organizations determine their employees’ salaries. Similarly, more than half (51%) of Americans tip due to social pressure rather than satisfaction with customer service. This could also likely explain why a significant number of Americans tip less when presented with tipping screens as it feels like some type of coercion.

The study also found that more than three-quarters (77%) of Americans believe that tips should be shared among employees who interact with customers. Tip pooling, a situation where all tips are shared among all employees, could result in some non-service workers benefitting from the efforts of others. It could also allow some businesses to take a cut from employee tips which is unfair if not illegal in all jurisdictions.

In cases where companies install instant rating systems, highly rated customers should receive more to encourage good customer service, which in turn could increase voluntary tipping instead of social coercion. Most Americans are not opposed to tipping, however, aggressive tipping demands have some feeling coerced and thus reconsidering the amount they are willing to give, eroding the tipping culture.  

3 thoughts on “Shocking: 90% of Americans Believe the Tipping Culture Is Out of Control”

  1. Way back when I was a hotel van driver. It paid $1 less per hour than working the front desk and tips (when I got them) didn’t make up for it. So I started working the front desk instead.

    I hate tipping. I’ll do 15% max and will never go for the prefilled tip amounts. Often they include even the tax in the tip amount. I actively avoid using services where tips are expected (don’t think I’ve EVER even had a pizza delivered). Just provide the service I’m paying for and charge what you’re going to charge.

  2. Unfortunately, this also affects service industry jobs that should be tipped for good service, good driving, clean car, etc – i.e. Uber drivers. No locals tip, like none. And it’s so infuriating…especially considering al the bull-crap we put up with (did I say service industry??) Thank goodness I live in a tourist heavy city. Almost the entirety of my tips come from them. Shout out fellow service industry people who take your job seriously despite the endless variety of selfish greedy inconsiderate humans, if you know you know. Man, I could get specific and write so so so much more. I’ll stop.

  3. Just say no! It really is that simple. If someone has done a good job for you, feel free to tip. But I will never be guilted into tipping!

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