“Tipflation” may have reached its breaking point, as new data shows Americans are cutting back on their tips out of frustration at being bombarded with tip requests.
Data from payroll provider Gusto shows that tips given to service workers in non-restaurant leisure and hospitality jobs are down 7% from last year, The Wall Street Journal reported.
In November, these workers earned an average of $1.28 per hour in tips, down from the $1.38 per hour they earned the year before.
Nearly three-quarters of Americans say tipping is now expected in more places than five years ago, according to a Pew Research Center survey.
Touch screens in taxis and cafes now offer tips of 20, 25 percent, or even more.
Data shows that tips given to service workers in non-foodservice leisure and hospitality jobs are down 7% from last year.
Americans have become frustrated with tilting screens. An options trader was outraged when an Alaska restaurant offered him the chance to tip 100%.
At a Connecticut bridal boutique called A Little Something White, brides-to-be are encouraged to leave tips and must reach a personalized amount and enter zero on the screen to decline, the Wall Street Journal reported.
In one extreme example, a merchant was outraged when an Alaska restaurant offered him the option of tipping 100 percent.
People have taken to social media to satirize their frustration with the advice screens that seem to pop up everywhere.
A TikTok user named Molly posted a video of someone asking to pet her dog, then inviting them to leave a tip after scratching her dog’s head.
The video’s caption reads: “Tipping culture is getting out of hand.”
Another user named Kevin posted a TikTok of a person thanking a U.S. service member for their service, then the service member showing him a tip screen with the caption: “Tips are greatly appreciated.”
Payment screens for iPads and tablets exploded during the pandemic when retailers stopped accepting cash over fears bills could spread Covid-19 germs.
Today, people feel like they’re being asked to tip heavily on every transaction, everywhere in the world. People have reached their breaking point, and data shows Americans are cutting back on the amount they tip.
Payment screens on iPads and tablets exploded during the pandemic when retailers stopped accepting cash over fears bills could spread Covid-19 germs.
Jasper Gabay told DailyMail.com: “There is added pressure. They’re literally holding the iPad right in front of you, about eight inches away from you, it’s just crazy,” he said.
“You kind of have to (tip) when you’re under that pressure. It’s strange to have this pressure that we feel today.
“Everything is already more expensive, so you add the tip,” said Atlanta resident Sharon Shetes, who said high tipping rates are more than just a New York problem.
“With everything you have to pay, including rent, it should be up to the landlords to pay the servers.”
Now even service workers have told DailyMail.com they agree that the dreaded iPad payment screens put too much pressure on customers to tip at cafes and convenience stores.
At Bluestone Lane, an Australian coffee chain in the United States, employee Izzy Goussen said, “I feel like it kind of puts pressure on you. I feel like when it comes to cash tipping or foreign exchange, I feel like it’s up to you, you know, it’s if you want to take it out of your wallet or No.
The Pew Research survey of 12,000 U.S. adults showed that 40% of adults oppose the suggested tip amounts.
They also found that a majority of Americans said they would tip 15 percent or less for an average meal at a table-service restaurant.
New York customers are getting some reprieve from tipping pressure as food delivery giants UberEats and DoorDash no longer pressure New York customers to add tips – thanks to news minimum wage laws in the Big Apple.
One area where Americans are not cutting back on tipping is the holiday season and end-of-year tipping.
Financial services company Bankrate found in a survey of 2,413 U.S. adults that the tips they give to housekeepers, child care providers, landscapers, letter carriers and other professionals will increase by 15% this holiday season compared to last year.
More than half of Americans who hire housekeepers plan to tip them this holiday season, the highest percentage of any service.
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