Half a century before Scott wrote his book, one of America’s most seismic events had oiled the wheels for tipping culture. After the American civil war ended in 1865, the nation’s enslaved people were set free. However, many struggled to find employment and ended up in service jobs. Some of these roles paid very little or even nothing at all. Instead, employers expected them to rely on tips to get by, seeing this not only as a big saving on wages, but also a means of ensuring excellent service for customers.
For instance, the Pullman company employed African Americans as porters, shoe shiners and other service staff for its famously luxurious railway coaches and paid them only a pittance. Its mainly white clientele made up the difference in tips – meaning they were always likely to receive the red-carpet treatment.
In 1938 the administration of President Franklin D. Roosevelt (pictured) introduced a US Federal minimum wage, but this didn’t apply to tipped workers. They remained unprotected by law until 1966 and even then, their minimum wage was allowed to include the tips themselves. Even today, while the Federal minimum wage is $7.25 (£5.55) per hour, up to $5.12 (£3.92) of this can be tips.
Despite some individual states now having higher minimum wage levels and some requiring the entire rate to be base pay, service workers’ dependence upon tips remains high. It’s the main reason why the US has the strongest tipping culture in the world.
The long shadow cast by the COVID-19 pandemic might also be encouraging more people to tip in the belief that it will help a beleaguered hospitality industry, as might the advent of digital payment and food delivery apps. Nevertheless, the extent, amounts and compulsion involved in tipping vary enormously in different countries. And just a few places still consider gratuities to be gratuitous.
Now, let’s take a look at how tipping culture varies around the world…
The same technology is also responsible for so-called ‘tip-creep’ where previously untipped transactions have begun to attract an extra payment: In 2023 the unionised staff of one Apple Store proposed adding a tip option to their e-payment menu, and even some self-service store checkouts now offer the option to give a little extra.
A 2024 survey found that three quarters of Americans now think tipping is ‘out of control’. Yet there seems no way to stop it. Across the US waiters, taxi drivers, bartenders, doorkeepers, hairdressers and many more workers will all bid you not to have a nice day unless you show them sufficient appreciation.
Egypt has high unemployment, plenty of poverty, and a large informal employment sector, so as in the US, service workers might have little to rely on other than customers’ generosity. It’s worth noting, too, that as much as 95% of the Egyptian population identifies as Muslim, which means they must abide by Islam’s five core principles, one of which is Zakat, or charity. If they can afford it, the faithful should give 2.5% of their wealth per year to the needy. Tips do not form part of Zakat, but the religious ideal informs local attitudes and encourages generosity.
About half of people in the Maple Leaf Nation habitually tip between 10-15%, and only about a quarter will give up to 20%. Much depends on the province you’re in because some have lower minimum wages than others. The province of Quebec is a clear outlier; tips there frequently top out at around 25%. However, even here, the local government has tabled a law to try and eliminate overtipping by requiring suggested charges to be calculated on the pre-tax element of a restaurant bill rather than the full amount.
A survey earlier this year by e-commerce software company Lightspeed Commerce suggested that Canadians – along with Belgians – are world leaders in wanting to eliminate tipping. The same study suggested they’re cutting back on tipping more than any other country, with 25% tipping less than they used to. More than half blamed inflation for their thriftiness.
Britain has now introduced a law to ensure that where staff do receive tips, they get to keep the whole amount, with their employers banned from skimming any off the top. If tips are withheld, the worker can take the business to an industrial tribunal, with fines or compensation among the possible penalties. Legislators say that this way, a whole range of service sector workers will benefit, though a cynic might point out that, since tips in the UK are counted as taxable income, the government itself might also be cashing in…
Tips are going digital in Argentina because of the dwindling value of Peso banknotes. Until recently the largest denomination was 2000 Pesos, worth only about $2 (£1.50). Nevertheless, cash tips in Dollars remain prevalent. As for the extent of the generosity, Argentines tend to give around 10-15% to waiting staff, but typically don’t tip taxi drivers.
That said, it’s far from unknown for French diners to add a modest pourboire on top of the service charge. There appear to be significant regional disparities in their generosity; the Provence-Alpes-Cotes-d’Azur is the apparently most charitable with about one in three people choosing to add a tip. Diners in Centre-Val de Loire, however, tip only 6% of the time.
Recently, some people have reported Paris waiters asking for bigger tips on top of the service charge. Card and electronic payments, as well as the city’s hosting of the Olympic Games, could be the catalysts.
These days more expensive establishments in bigger Indian cities tend to expect a tip, and the practice of adding a service charge to the bill (usually around 10%) has taken hold. On the other hand, people in more rural areas might not ask for anything extra.
India enjoys a vast range of informal service providers, from tuk-tuk drivers to street food restaurants. These will rarely expect a tip, but the custom is to round up cash payments instead.
One peculiarity of Hungary’s tipping culture is that until recently it applied in the healthcare sector. So-called Gratitude Money (Hálapénz) was a centuries-old tradition that emerged because of doctors’ poor pay. In 2020 the government improved medical salaries and made it illegal to accept tips from patients. Yet as investigators subsequently discovered, the practice has continued illicitly to some extent, with payments sometimes equivalent to hundreds of dollars.
Restaurant staff will welcome a chayeviye – literally, ‘for the tea’ and may add one to the bill. Around 5-15% is common. Meanwhile, bar staff might make most of their salary in gratuities, so it’s customary to ‘make friends’ with them by giving regular tips in the expectation of faster service. Funeral directors sometimes even advise mourners to tip the gravediggers at a funeral, in the belief that this will help prevent their early return to the cemetery as the one to be buried!
Beyond the restaurant industry, it’s normal to give small cash tips to cloakroom and WC attendants in Germany. In stores and supermarkets, you might be asked to round up the cost of your purchases to the nearest euro, with the proceeds going to charity. It’s entirely up to you whether or not to do so.
Even so, tips are not unheard of, and where Australians do give them they normally add about 10%. A recent survey suggests that tipping is increasing among some people, perhaps because of the effects of the pandemic on servers’ incomes. It found that a quarter of those canvassed were happy to give a tip, and that the most regular tippers are aged under thirty.
In 2007, Spain’s Economy Minister, Pedro Solbes, criticised his compatriots for tipping too much, saying it was fuelling inflation. However, the increased donations were blamed on confusion over the value of recently introduced euro notes and coins, rather than increased Spanish philanthropy.
In more rural parts of China, tipping remains unusual. Meanwhile, big hotels will accept tips, and it’s fine to give to tour guides. Taxi drivers might accept you rounding up the bill, but more to speed things up than to take extra money off you.
In 2021 an initiative called the Tip Project tried to introduce a US-style tipping culture to Japan, partly as an attempt to help the hospitality sector recover after the pandemic. It received a very hostile reception and was abandoned two years later.
One exception to Japan’s discomfort over tipping is on special occasions such as weddings or funerals. Then, staff may accept a payment for having executed their duties to perfection. Also, when staying in a ryokan, an ancient and traditional Japanese inn featuring tatami-matted floors and futon beds, you may tip the server. However, even in these examples, the customer needs to exercise great caution; payment needs to be made discretely and not in public, with the money placed in an envelope specially designed for the purpose.
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Publish date : 2024-10-23 04:30:00
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