The tipping point for tipping?
The 2024 Hospitality Tipping Trends Survey by Atlas and Angus Reid, reveals that while a majority (71%) of respondents stand firm that tipping is important, an increasing number are prioritizing higher overall compensation.
While tipping isn’t the norm as most convenience stores, some stores that offer foodservice do invite customers to tip, but how
With the cost of living at an all-time high, conversations and opinions around tipping and wages have escalated, according to The 2024 Hospitality Tipping Trends Survey from Angus Reid, in partnership with Atlas, a platform automating hospitality operations.
- While a majority (71%) of Canadian hospitality operators believe that tipping is important, an increasing number (34%) are prioritizing higher overall compensation.
- A staggering 91% of Canadian hospitality operators believe that tipping practices should be clear and transparent for both employees and customers, with 21% of respondents having no idea how much of the tip reaches the intended recipient.
- The majority (66%) of respondents want tips to be exempt from income and payroll taxes, and 41% of hospitality operators are looking for clearer regulations on tipping practices.
- As rising living costs continue to affect Canadians, over the last two years, tipping practices have decreased for 39% of operators.
- When it comes to how tipping decisions should be made, 47% of participants advocate for tipping as a voluntary gesture from the customer, particularly favored by 67% of respondents in Saskatchewan. Additionally, 37% believe tipping should be based on the quality of service provided.
- Half (50%) of respondents see an increase in tips around the holidays, with 29% seeing a 10% increase.
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“This survey makes it clear that hospitality workers are calling for fair and more transparent compensation models,” Afshin Mousavian, CEO and co-founder of Atlas, said in a release.
As tipping practices evolve, respondents outlined a desire for changes in government policies regarding tipping and hospitality operations.
- The primary request, supported by 41% of respondents, is for clearer regulations on tipping, with the highest support in Alberta (54%) and Quebec (50%).
- Additionally, 40% advocate for more support for hospitality operations, with strong agreement in Atlantic Canada (56%) and Ontario (43%).