Joe’s Crab Shack Becomes First Chain Restaurant to Drop Tipping

Figuring up the tip after a night out can be stressful for some. My personal opinion is that you should always start at 15% and then go higher based on how your service was. That's how I approach it. Joe's Crab Shack announced that they are going to do away with the tipping of waitstaff. The restaurant chain says it will begin paying its servers at least $14 an hour based on their performance. Due to no tip being required, food prices will also increase by 12 to 15%. Is this the right move?

Many people just don't know how to properly tip. I feel bad for servers who run into someone who doesn't believe in leaving much for them. They don't understand that the tip is part of their wages. For this reason, I like the higher salary for servers. What I don't like is that you don't have any way to say the server did a great job, by leaving them more, or a poor job, by leaving them less.

Also, is everyone OK with paying higher prices for food? A 12-15% increase will be very noticeable and could cause the chain to lose customers. It should be interesting to see how Joe's Crab Shack fairs in this endeavour. The rest of the food industry is watching!