ECONOMY & WORK
MONEY 101
NEWS
PERSONAL FINANCE
NET WORTH
About Us Contact Us Privacy Policy Terms of Use DMCA Opt-out of personalized ads
© Copyright 2023 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.
MARKETREALIST.COM / ECONOMY & WORK

Top Chefs Unhappy With Tipping Culture, Demand Fair Wages for Restaurant Workers

Servers are making much more money from tipping than the staff working in the kitchen.
PUBLISHED FEB 29, 2024
Cover Image Source: People work at a restaurant at Chelsea Market in Manhattan, New York City | Photo by Spencer Platt | Getty Images
Cover Image Source: People work at a restaurant at Chelsea Market in Manhattan, New York City | Photo by Spencer Platt | Getty Images

In America, stakeholders in the restaurant industry are debating about the tipping culture and how it has changed the dining experience. People are arguing about how the tipping culture has changed over the years and how surviving in the US with such increasing food prices has become difficult. Recently two renowned chefs disclosed how these tips are beneficial just for the restaurant owners and not the actual ones working back in the kitchen. They expressed their disappointment towards the uneven distribution and further mentioned that there is a dire need for changes in how tips are made in American restaurants. 

Staff making mouth-watering dishes in a restaurant kitchen. Image Source: Pexels|Photo by Elle Hughes
Staff making mouth-watering dishes in a restaurant kitchen
| Pexels | Photo by Elle Hughes

David Chang of Momofuku and Eric Huang of Pecking House arguably convey their resentment that they are not happy with the current tipping situation. After the pandemic, people's perspectives towards dining have changed and they have given much more importance to restaurant workers. But this practice is not fair as in most of the tipping scenarios, servers are making much more money than the staff working in the kitchen, say the chefs. The tips happen because of the good food and of course, the service, but the person who is making those wonderful meals often receives less or no additional tip for the service they offer, and it looks wrong. The debate further extends as Americans remain frustrated with the tipping culture and are not open to any more changes in the way they tip.



 

The chefs assert that there must be a way that is comfortable for diners as well as the workers. Many chefs around the world are talking about the equal distribution of wages i.e. amongst the restaurant servers and the kitchen staff workers. Chang and Huang also mention that they want to make sure everyone working in the restaurants gets paid fairly. For this, they suggested some ways such as increasing the menu prices or adding a service charge, but then they also said that most Americans would not agree to this proposal. And if nothing works, they suggest that the restaurants should launch a no-tipping policy to remove this debate.



 

Workers' minimum wages are the main concern behind increasing the tips and introducing a mandatory charge on orders. On average, in some states restaurant workers who get tips are paid a low wage of $2.13 per hour and to ensure the survival of their families they rely on post-order tips. Some workers have to struggle to take back home their average salary. Due to the workers' dependency on these tips, their regular income becomes unstable and on some days they have to go home with just the minimum wage of $7.25.

Chefs accept that the hospitality industry is booming and they are ready to adapt to the changes. However, the transition is not yet decided and there is no information on what the new changes will be and whether the workers will get a fair wage structure. The conversation about expecting an equal salary structure is increasing and many want the restaurants to work towards providing equal support to everyone.

MORE ON MARKET REALIST
It turns out that Americans are not willing to pay exorbitant tips in such an economy.
9 hours ago
The contestant's mother encouraged her to take the risk and go for the car.
10 hours ago
The item was voluntarily recalled and no illness or injury has yet been reported from it.
11 hours ago
The company issuing and managing these gift cards recently filed for bankruptcy.
12 hours ago
Tech companies are racing to develop AI that exceeds human cognitive abilities.
14 hours ago
With an average annual growth rate of 2.8% during the last 50 years, the US economy is expected to expand by 2.4% in 2026.
15 hours ago
"Came here to say this! Ugh! $40k should not have a big tease to it… I really like Ryan, but I wish he’d stop that!" a fan reacted.
17 hours ago
He looked to his friend twice for help and he let him down on both occasions.
1 day ago
Gregory Daco claimed the economic foundation was weak, with low and middle-income families struggling.
1 day ago
He claimed that the President used his tariff authority to strike favorable deals for America.
1 day ago
The affected products were sold nationwide and pose serious health threats.
1 day ago
The company where the breach happened is facing several litigations with class action lawsuits.
1 day ago
The President recently unveiled a website on which a number of drugs are being sold at a discount.
1 day ago
Trump claimed that the US economy was "dead" a year ago, but now it is the "hottest country."
1 day ago
Had she taken their advice, she'd be leaving the stage $15000 richer
2 days ago
Multiple services have opened up in the country that charge people for interviews with companies.
2 days ago
The President spoke about how GDP grew under his watch and called out Democrats over affordability.
2 days ago
There are now eight municipalities and 21 states that implement this tax.
2 days ago
The duo has been buying tickets together for a long time and had promised to split a big prize.
2 days ago
Trump allegedly made dozens of false economic claims about falling prices and inflation
2 days ago