Heartland reacts to 'no tip model' at restaurants - KFVS12 News & Weather Cape Girardeau, Carbondale, Poplar Bluff

Heartland reacts to 'no tip model' at restaurants

(Source: Giacomo Luca, KFVS) (Source: Giacomo Luca, KFVS)
(Source: Giacomo Luca, KFVS) (Source: Giacomo Luca, KFVS)

National chain Joe’s Crab Shack is considering a move that would ban customers from tipping in all 130 of its restaurants.

The chain will instead pay its servers at least minimum wage and increase its menu prices to make up the difference.

Jeff Vaughn, owner of Tres Hombres Mexican Restaurant and Bar in Carbondale, Illinois calls the move unsettling.  

“What’s going to happen is you're going to pay for that whether you get good service or not,” Vaughn said. “It’s really hard for me to see where it’s a benefit for anyone to be honest.”

As a small business owner, Vaughn said he would have to increase prices on his menu in order to pay his servers what they deserve.

Tres Hombres server Taylor Vaughn, 21, said she makes much more than minimum wage on the current plan.

“You have the opportunity to make well over minimum wage whenever you include all your tips,” Taylor Vaughn said. “It’s just like your customers way of telling you that they appreciate you and that you did well.”

Taylor Vaughn is also a student at John A. Logan College and is putting her tips toward school.

A first time visitor to Carbondale from Chicago, Shawn Dillard, said he tips based on service and quality and said he should have a say.

“That’s not right to force you to pay 20 percent for horrible service. You should tip based on the service you receive,” Dillard said. “But, I think it’s unfair to eliminate tips from servers that really work for tips.”

Joe’s Crab Shack is testing the new “no tip model” at 18 of its stores.

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