Why Americans are tipping less and how it impacts workers — Transcript

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1. 0:00what is going on with tipping culture a
2. 0:02growing number of folks are fed up with
3. 0:04tipping if I have to do something I'm
4. 0:07not tipping and the endless ways it
5. 0:09seems they're being asked to pay extra
6. 0:12tell me why I just got frozen yogurt
7. 0:14which is self- served you do it all
8. 0:17yourself and at the end there was a
9. 0:19tipping screen for what even Curb Your
10. 0:22enthusiasms Larry David is frustrated
11. 0:25I've noticed like in the little coffee
12. 0:27shops right if you go in and you get a
13. 0:30Quant with a cup of coffee you know
14. 0:33there's a tip spot right yeah and it
15. 0:36freaks people out a little bit and the
16. 0:38fatigue is real a new survey from pop
17. 0:41menu reveals 60% say they're tired of
18. 0:43being asked to tip for various services
19. 0:46and nearly the same amount feel
20. 0:47pressured to tip that fatigue is having
21. 0:50an impact on the service industry
22. 0:52including restaurants fewer consumers
23. 0:54now say they tip servers 20% or more
24. 0:57what's on the rise tipping less nearly a
25. 1:00third said they tip as little as 10% the
26. 1:03survey shows people want to tip less and
27. 1:05less often what does that tell you I
28. 1:09mean that tells me that inflation has
29. 1:11really worn us down over the past few
30. 1:13years it tells me that we were extra
31. 1:15generous uh during the covid years and
32. 1:17we're settling on a new normal tipping
33. 1:19has been a Hot Topic on the campaign
34. 1:21Trail too we are going to not charge
35. 1:24taxes on tips eliminate taxes on tips
36. 1:27for service and Hospitality workers
37. 1:30and voters in at least two states
38. 1:32Massachusetts and Arizona will face
39. 1:34questions about how to pay tipped
40. 1:36workers on the ballot in November call
41. 1:38me crazy but unless someone is serving
42. 1:41me or seating me somewhere I just don't
43. 1:43feel like tips are necessary like but
44. 1:45for many service workers like Devon
45. 1:46Ashby tipping is vital it really is a
46. 1:49difference between people being able to
47. 1:51like pay their rent people putting food
48. 1:53on their table she says her base pay is
49. 1:56$117 at a Mexican restaurant in
50. 1:58Nashville where customers order at the
51. 2:00counter and are automatically asked to
52. 2:03tip when you realize that you have to
53. 2:04serve yourself or you see how easy
54. 2:06something is done how you're able just
55. 2:07to kind of like walk in and pick up your
56. 2:09food realize it's because real people
57. 2:12put work behind it to make it that easy
58. 2:14for you and that's why you should tip
59. 2:16that's a good point that's probably
60. 2:17something a lot of folks don't think
61. 2:18about Christine if so many people are
62. 2:21fed up with tipping according to that
63. 2:22survey any options any alternatives so
64. 2:25that survey found that 61% of consumers
65. 2:27would rather just pay a higher price
66. 2:29they just rather pay higher prices on
67. 2:30the menu and then that would compensate
68. 2:32and pay for the wages of the workers
69. 2:34right they don't want they don't want
70. 2:35the hassle of the Tipping they just want
71. 2:36to pay more but you know some experts
72. 2:39say would they really they're so fed up
73. 2:41with inflation if you said okay we're
74. 2:43going to get rid of tips but we're going
75. 2:44to just raise prices would they really
76. 2:46pay there's some doubt that they would
77. 2:47really pay higher Vu prices they're two
78. 2:49valid points like if you don't do
79. 2:50anything I get why you don't want a tip
80. 2:52but that girl's making a buck 17 that's
81. 2:54ridiculous and also she needs the tips
82. 2:56and I think anyone who's ever worked in
83. 2:58the food service industry is like come
84. 3:00on we kill ourselves and we make very
85. 3:03little one interesting thing about the
86. 3:04survey is it found that right after Co
87. 3:05we got real generous we were tipping 40%
88. 3:08because we felt so thankful for the
89. 3:10people who were doing these jobs and now
90. 3:12at two years into the inflation story
91. 3:14we're like okay now we're a little
92. 3:16inflation weary and so we're getting
93. 3:18back to normal not necessarily getting
94. 3:20cheaper and stingier but getting back to
95. 3:21normal but don't you also think there's
96. 3:23an element of confusion like if you see
97. 3:24a service charge delivery charge you see
98. 3:26all all these other charges it's like
99. 3:28maybe the tips included and DC is in the
100. 3:30middle of this they have a 5-year plan
101. 3:32to move away from tips and put it in the
102. 3:33menu prices so to end tipping the whole
103. 3:35culture in DC and they're I think
104. 3:37they're two and a half years into it and
105. 3:38there is some confusion there's service
106. 3:39fees on the menus people walk in they're
107. 3:41like wait I don't know if am I supposed
108. 3:42to tip a little bit a lot so it would
109. 3:44take it would be a real transition to
110. 3:46move away from that technology too is
111. 3:47like put this psychological thing where
112. 3:49like it used to be the bill you now it's
113. 3:50like hi yall done here or do you want to
114. 3:53tip me I know I call it smoothie shame
115. 3:55you get a smoothie they turn it around
116. 3:56everybody in line knows I just put zero
117. 3:58you know not Christine
118. 4:02we know who is a generous
119. 4:04Tipper dy warbuck over here those of us
120. 4:07who are fortunate enough let's spread it
121. 4:09around a little bit hey thanks for
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