If you’ve never worked in the foodservice or hospitality industry, you may not know that employees who rely on tips often earn base pay that is significantly less than minimum wage (the federal minimum is currently $2.13/hour). Tips can certainly add up to much more than the minimum wage, but they can also be cyclical and unpredictable, which is problematic for people living paycheck to paycheck. Yesterday, voters in one state and one city decided it was time to phase in wage increases that will eventually get tipped workers earning base pay that is at least the minimum. [More]
Here at Consumerist, we’re no stranger to the occasional restaurant receipt story: whether it’s a customer leaving a rude message, a discriminatory tip, or an employee calling customers names. In the most recent incident, a couple reportedly left a note to inform their waitress “her place is in the home.” [More]
Since its launch in 2012 Instacart has offered consumers a way to shop at their local grocery store without actually going to the store. Instead, hired shoppers would be sent a list of products, grab them off shelves, and drive them to a customer’s home or business where they often — but not always — receive a tip. But starting next month, the company is changing the way it handles tips, leaving some contractors and customers up in arms. [More]
Usually when someone leaves an exorbitant tip at a restaurant, folks ask things like, “What made them so generous? What’s the heartwarming story behind it?” But one restaurant owner was a bit more practical after a drunk customer left $1,000 on the table for servers, asking instead, “Did he even mean to do that, or will he just want his money back?” It turns out she was right to ask those questions, because he didn’t, and he did. [More]
Millions upon millions of seamless commercial transactions — interactions between consumers and business — take place every day. But sometimes, something goes wrong. Your package arrived broken. You’ve been billed for a service you cancelled three months ago. You were called something rude by an employee. Whatever it is, it’s a problem, and you need to complain about it. [More]
Super Bowl Sunday is a time for football, friends, occasionally creative commercials, and food, lots of food. But firing up the grill on a February afternoon isn’t exactly the same as cooking out on the Fourth of July. [More]
Restaurant Group Behind 17 N.J. Houlihan’s Sued For Allegedly Pocketing Workers’ Tips, Not Paying Overtime
A New Jersey company that operates 17 Houlihan’s restaurants in the state is being sued by the U.S. Department of Labor over claims that bosses were skimming tips from employees, to the tune of $40,000 that should’ve gone into tipped workers’ pockets, but instead were allegedly “unlawfully” distributed to non-tipped employees.
An Alabama restaurant has plastered signs around a Mobile neighborhood accusing Wells Fargo of being run by liars, after the bank reportedly cost employees of the establishment tens of thousands of dollars in tips and refused to remedy the situation. [More]
It’s not easy being a delivery person — you’re entrusted with getting hot food to its proper destination quickly, and then have face-to-face interactions with customers. The better you perform at your job, the more likely you are to get a nice tip for all that hard work and driving around. Two former pizza delivery drivers who worked for Pizza Hut are suing the company, claiming that their work wasn’t always rewarded as it should’ve been.
When you’re eating at a restaurant and they impose a “service charge,” where do you assume that money goes? While laws regarding the pay of tipped workers are different in the United Kingdom than here, they do have the custom of tipping. Except at the chain restaurant Côte, which reportedly imposes an optional service charge which isn’t distributed directly to waitstaff. [More]
Celebrity chef Thomas Keller’s Per Se restaurant in Manhattan is one of the world’s most expensive eateries, with diners paying a minimum prix fixe of $310 each for dinner. And yet the restaurant has been caught charging certain customers for “service charges” that didn’t go to pay the people performing that service. Now it faces having to pay $500,000 in restitution to employees who should have received this money. [More]
It’s always nice to be appreciated for your hard work in any form, but when someone goes out of their way with a hefty chunk of change, you better believe it makes people excited. Thus was the case with a regular customer at a D.C. restaurant who loved his gumbo so much, he tipped $2,000 on a $93 lunch bill.
In discussions of the custom of tipping, you never hear typical consumers wish that they were expected or asked to tip their service providers in more industries. Yet Square, a service that lets small businesses accept credit card and direct mobile payments on phones and tablets, gives any business the opportunity to prompt customers for a tip. [More]
Uber’s goal is to make the process of hailing a cab seamless and easy, without requiring users to carry cash or even have any idea what street address they’re at. The company’s success shows how much people like this integrated pricing model, but as the company lowers fares, drivers earn less money. Yet asking for tips, even with a sign in the backseat, can get a driver in trouble. [More]
One good reason to pay your restaurant bill in cash: Tipped employees get that money right away without having to worry about being docked fees for card-processing. Another good reason: A scammy server can’t artificially inflate your credit card tip with some crafty work of the pen. [More]
He didn’t get the $7 tip he was forced to return for delivering pizzas, but now it seems a pizzeria worker who was stiffed the first time around by a Massachusetts car dealership will be doing just fine: A GoFundMe campaign set up by a stranger who saw the video and was outraged has hit $20,600 (as of Friday afternoon) in donations in just two days.
It’s a dream come true for anyone who depends largely the generosity of others to make a living — land a huge tip for a small or otherwise not difficult job, and walk away happy. But one Philadelphia cab driver was so shocked by an almost $1,000 tip for a two-minute that he was more worried the passenger had made a mistake than he was excited about his windfall, at first.