Restaurant Sees Profits Triple After It Ditches Tipping

[Dexter]

https://www.yahoo.com/food/restaurant-sees-profits-triple-after-it-ditches-121108634284.html

It’s not exactly established economic theory, but what if you could triple your business’s profits by paying your employees more? That’s what one restaurant owner claims happened after he turned to a no-tipping policy at his restaurant, instead choosing to pay employees an annual wage. Bobby Fry made headlines earlier this year when his restaurant, Bar Marco, decided to join the small but growing trend of restaurants that have decided to ditch tipping. Entrepreneur decided to check in to see how the restaurant owner was doing, and Fry says the results have been phenomenal. Since getting rid of tipping on April 1, profits have increased from about $3,000 a week to $9,000.

[Oceander]

"Since getting rid of tipping on April 1"


Ooh, that's a really long period of time, so the results certainly must be valid.  This increase couldn't be due to any other factor, could it?  Assuming, of course, the story itself is true because, quite honestly, a 300% increase in profits means an even bigger increase in gross revenues.  It also means a big increase in wait-staff, cooks, etc.

I smell quite the lie.

[truth_seeker]

Two California based businesses have paid far above minimum wage for many years; namely In N Out burgers, and Trader Joe's.

The idea is they want better quality employees, because they are not "minimum" quality businesses.

That appeals to me. Why settle for mediocre products and services, which can be rendered by the least qualified, lowest paid?

[Oceander]

Two California based businesses have paid far above minimum wage for many years; namely In N Out burgers, and Trader Joe's.

The idea is they want better quality employees, because they are not "minimum" quality businesses.

That appeals to me. Why settle for mediocre products and services, which can be rendered by the least qualified, lowest paid?

So long as I have the right to my choices same as you - no problem whatsoever - it's when the fascists - usually liberals in this country - get involved and start denying people their choices that I object.

Those companies have their business model, and to-date it works for them; but I won't shop there precisely because the prices are too high.  I can get equally good merchandise elsewhere at lower prices.