Some local coffee shops in New York City are eliminating gratuities, removing tip jars, and prompts for automatic gratuities on iPad payment portals. Most customers are pleased with this change, as they no longer have to make decisions about how much to tip or do the math themselves. Anu Mohan, a frequent customer at Three Legged Cat cafe in East Williamsburg, expressed his excitement about the cafe’s policy of including tax and tip in their prices and providing a living wage to employees.
This move comes as many New Yorkers feel overwhelmed by the increasing pressure to tip not only at restaurants and hotels but also at various other establishments. Couples like Anu and Cassandra Mohan sometimes have debates about tipping, such as whether to tip on baked goods in addition to coffee. While the lack of gratuity at some coffee shops may eliminate the hassle of deciding how much to tip, it does not necessarily save customers money, as prices can be slightly higher compared to other similar establishments.
Some coffee shop owners, like Katie Bishop of Principles GI Coffee Shop, have faced pushback on their prices after eliminating tipping options. Bishop’s prices for coffee at her shop have drawn criticism from some customers who feel entitled to lower prices. However, she has learned to respond to such feedback by explaining why her prices are set as they are and focusing on attracting her target customer base.
Taylor Siok, the owner of Passionfruit in Bed Stuy, opted to forego tipping in order to offer his employees more stability. Siok pays his employees a competitive wage and provides benefits such as paid time off, which are rare in the hospitality industry. Emily Williams of Til Death in Bushwick implemented a no-tip policy to avoid having to cater to disrespectful customers just to receive a tip. Both examples showcase how some coffee shop owners are prioritizing the well-being and stability of their employees over traditional tipping practices.
While full-service restaurants in NYC have had mixed success with no-tipping policies, some coffee shop owners are finding success with this model, encouraging other businesses to give it a try. Customers like Michael Bewley, who own neighboring businesses and live near Three Legged Cat, appreciate not having to stress about tipping decisions and prefer the simplicity of fixed prices. Overall, the trend of eliminating gratuities in coffee shops is gaining traction as owners prioritize fair wages for employees and a better customer experience.
