Hospitality Industry’s New Tipping System: What You Need to Know

EHL Insights | July 26, 2023

By Michael Gyger, Sébastien Fernandez How tips are distributed can quickly become a hot topic in restaurants and hotels. Employees care about justice and want to be rewarded according to their efforts. Is it fair that a server who is capable to deliver a better service than his or her colleagues (and gets more tips) has to put all the money earned in a pot that will be equally shared with other employees? Or, is it fair that a server keeps all the tips received when part of the excellent customer experience is also shaped by fellow colleagues (chefs, runners, bartenders)? None of these systems is totally fair, but they are used in many re...