Servers know before they start the job the hourly rate. They chose to take the job, knowing the wage they would be paid. It isn't the public's responsibility to ensure they are making minimum wage.
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RUBBISH--Servers don't take the job expecting to make sub minimum wage. The government understands servers income isn't sub minimum wage and will tax servers on imputed tips. Servers take the job knowing they'll make around 15% of sales, assuming good service.
Customers can't possibly think servers are working for sub minimum wage. Customers understand, before they enter the restaurant, tips are the form of compensation.. Customers understand their responsibility to tip, for good service. Customers who don't tip. assuming good service, are expecting the server to pay (via taxes) for the "privilege" of serving them.
how often do you go out for dinner ?
Look at it this way. If you have a young child or a grand kid and lets say you take them out for dinner once a week . You can give that 5% to a stranger or put that 5% in a college fund for the kid. I would prefer the college fund. $2 a dinner over the course of a year is an extra $104 over the course of 16 years is 1,664 before any type of interest. At a community college that is 3 classes at 3 credits a piece of 9 credits. That's not a bad deal for your kid or grandkid
And that's just a cheap dinner and if you only go out once a week for dinner. Raise the price of the dinner and you an go from $2 to $10 to $20 and raise the frequency and it can become a lot of money. My gf and I go out twice a week or so. If we tipped 20% or more forget it. We could pay a mortgage payment each year with the money.
There is some validity to your point. 15% is a reasonable tip. Suggestion. There are times service is exceptional, and warrants more then 15%. There are times service is poor and deserves a low tip. They should balance out. This doesn't apply to you....JMO but people who consistently find a reason to tip low, and never tip high, are looking to justify being cheap OR need to find better places to eat.
Fine by me, and I imagine an owner would resort to that before (s)he would see the business fail. Heck, they might even start paying the help more if they had to.
Your point? Your asking the wrong question. Ask an owner if he cares
if none of his customers tip. Automatic tips for larger parties answers that question. Zero tips means menu prices go up and/or an automatic service charge is added to checks. When we get our car repaired we generally get a labor and parts breakdown.
Does the owner car if a party of two doesn't planning on tipping. The answer is irrelevant. There isn't any honest reason why that couple should be tipping. That couple isn't "special".
Restaurants with customers from parts of the country, or world, where tips aren't common sometimes apply automatic service fees.
To answer the OPs question. I suspect many people look at the guidelines as minimum, medium and maximum. Listing 15-20-25% as the options suggests the middle number, 20% is appropriate for reasonably good service, 15% for OK service and 25% for exceptional service.