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No More Tipping in New York

Fijimn

Veteran Seminole Insider
May 7, 2008
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...well at the 13 restaurants owned by Danny Myer (Gramercy Tavern, 11 Madison, et al). It's a start.
 
What is the wage he's paying his servers and is he passing those cost along?

I don't know what the wage will be. Yes, he is passing the costs along. But should create a more enjoyable dinning experience--much like other countries that don't tip--where the dinner can lounge and talk and eat and drink--instead of being rushed by the waiter that has to turn the table 3 times a shift to make cash.
 
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I don't know what the wage will be. Yes, he is passing the costs along. But should create a more enjoyable dinning experience--much like other countries that don't tip--where the dinner can lounge and talk and eat and drink--instead of being rushed by the waiter that has to turn the table 3 times a shift to make cash.
Which brings in less revenue for the restaurant. Not sure I understand this from a business sense.
 
Which brings in less revenue for the restaurant. Not sure I understand this from a business sense.

interesting concept. I kind of like the incentive approach.... and if you have someone who blows your socks off you can reward them accordingly.
 
I'll take "Thread titles that got me excited for nothing" for $300, Alex.

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I don't know what the wage will be. Yes, he is passing the costs along. But should create a more enjoyable dinning experience--much like other countries that don't tip--where the dinner can lounge and talk and eat and drink--instead of being rushed by the waiter that has to turn the table 3 times a shift to make cash.

The restaurant itself wants the waiter to turn the tables. The restaurant HOPES this happens. After all, it is a business. If you want more or unlimited time at a restaurant, grab the late reservation and enjoy yourself.
 
Service quality sure to suffer. Knowing you are going to make $100 a day as opposed to thinking you might get $100 from just one table really doesn't get the juices flowing. And then there is the whole taxes thing.
 
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On another note, Eleven Madison Park is one of the best and most expensive restaurants in NYC. The senior waiters certainly make over 100k/yr via tips. I like to see how they are going to cover these salaries.
 
On another note, Eleven Madison Park is one of the best and most expensive restaurants in NYC. The senior waiters certainly make over 100k/yr via tips. I like to see how they are going to cover these salaries.

100k in tips.... dang!! Are they accepting applications?
 
100k in tips.... dang!! Are they accepting applications?

I'm sure but get in line. While being a waiter is usually just a stepping stone, the people that make it a career, have some drive and work their way into these mega successful restaurants make a great living. Waiters and bartenders in major cities routinely make over 100k. Hell, there are a few waiters at my local Houstons that make over 100k.
 
$100K in NYC, no thanks. That's like making $40K in Tampa.
Except that you don't have to live in Tampa :)

$100k is enough to live pretty comfortably in Manhattan, certainly more comfortably (IMO) than you could in Tampa on $40k.
 
On another note, Eleven Madison Park is one of the best and most expensive restaurants in NYC. The senior waiters certainly make over 100k/yr via tips. I like to see how they are going to cover these salaries.

It's also not owned by Danny Meyer.
 
Which brings in less revenue for the restaurant. Not sure I understand this from a business sense.

I read from several sources, here is one:

http://ny.eater.com/2015/10/14/9517747/danny-meyer-no-tipping-restaurants

The restaurant group is planning on raising prices more than 20% to offset costs. They are also implementing a revenue sharing plan (no specifics on details). I think this model actually encourages wait staff to turn tables faster and sell higher revenue items. If a server is making $15 per hour plus x% of revenue, the only way he or she increases income is to generate more of the revenue that is shared.

The big question here is how does the customer react to essentially a forced tip of 20-25% and servers steering them towards higher cost items. In the upscale NY market, it may actually work out well.

There are a lot of variables in this experiment and I'm curious to see how it works. I'm especially curious about how servers who currently underreport tip income are going to react to the income that they will be forced to be claimed for tax purposes.
 
How will they react? There will be full scale revolt. Wonder how the profit sharing will be penciled out. Is the 20% bump going to also be on liquor? If not, that could be substantial pay cut for some. If that 20% is being used to subsidize the back of the house there is no way the waitstaff makes as much as they did before.

If you're a waiter willing to settle for minimum wage plus 20%, you aren't a very good waiter.

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It's also not owned by Danny Meyer.

Right, he sold it to Chef Danny Humm a few years ago. I mentioned EMP because the op had it in his original post. EMP is also adding the no tipping policy. Do you have anything constructive to add to the convo?
 
$100K in NYC, no thanks. That's like making $40K in Tampa.

You can make 40k in Tampa while I'll take the six figures in New York. You have to remember, most of the people who work in Manhattan (especially waiters) do not actually live in Manhattan.
 
Right, he sold it to Chef Danny Humm a few years ago. I mentioned EMP because the op had it in his original post. EMP is also adding the no tipping policy. Do you have anything constructive to add to the convo?

Alinea doesn't have tipping. It's a non-issue.
 
Alinea is a different beast all together. You can't really compare it to any other place.

When EMP was in Chicago they charged for their standard menu and pairings and automatically added 20% for gratuity. It wasn't a problem.
 
Read Setting The Table. It'll give you some insight on the way that dudes thought process works.

I've been to Gramercy, Union Sq, Jazz Standard, The Modern, and Blue Smoke. Blue smoke reserves half the tables for walkins, every table is darn near full at all times. Some of his other places do this as well. Danny Meyer is not concerned with turning tables, he's concerned with butts in seats. He will be fine as long as his place is full and his employees are getting his customers to spend money. This is something his team is extremely efficient at. Most nights all his seats are already booked, open to close.

I went to a shake shack on a cold night around midnight in February last year while it was literally storming. There was a line 20 people deep, soaking wet customers and employees everywhere. Every single person had a smile on their face, polite, even in the mess. I thought to myself, this is incredible. Even his damn burger joint employees seem to be spot on everytime, no matter the circumstance. They never got tips at shake shack.

It's not like local joe steak house is going at this. Meyer is the argubly the most famous and best restaurateur in one of the most competitive food markets in the world. I bet his business level and profits increase.
 
It's not like local joe steak house is going at this. Meyer is the argubly the most famous and best restaurateur in one of the most competitive food markets in the world. I bet his business level and profits increase.

You are right, if anyone can pull this off it is Meyer. I only question what happens if his servers do not make what they used to.
 
Except that you don't have to live in Tampa :)

$100k is enough to live pretty comfortably in Manhattan, certainly more comfortably (IMO) than you could in Tampa on $40k.
I'd rather make 40k in Tampa than 10 million in NYC.

Ok, I guess I could choke on it for a year, but you couldn't pay me enough money to make me stay in that cesspool.
 
I'd rather make 40k in Tampa than 10 million in NYC.

Ok, I guess I could choke on it for a year, but you couldn't pay me enough money to make me stay in that cesspool.

Interesting how people view places. I love NYC. Truly a city that never sleeps and there was always something to do. Central Park is one of my favorite places. I find Tampa a horrible, strip center filled, neon light illuminated cesspool. (of course, I may be jaded as the ex-girlfriend was from Palm Harbor)
 
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Interesting how people view places. I love NYC. Truly a city that never sleeps and there was always something to do. Central Park is one of my favorite places. I find Tampa a horrible, strip center filled, neon light illuminated cesspool. (of course, I may be jaded as the ex-girlfriend was from Palm Harbor)
In fairness, I much prefer St Pete to Tampa. Typically of a I go to Tampa, it's just to do something or get something and get out.
 
I'd rather make 40k in Tampa than 10 million in NYC.

Ok, I guess I could choke on it for a year, but you couldn't pay me enough money to make me stay in that cesspool.
Haha, to each their own. Needless to say we're all fortunate to be able to have these options.
 
Alinea adds a 20% service charge when you purchase the ticket/reservation.

Again, this is commonplace among restaurants in certain situations. Also, if going to a restaurant like that, wouldn't you leave 20% anyway? The point of the thread isn't auto gratuity.
 
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