Posted on 10/28/2016 5:39:33 AM PDT by wbill
Cara Stadler says she just wants to do the right thing.
On Tuesday, the owner of Portlands Bao Bao Dumpling House and Tao Yuan in Brunswick announced her plan to jettison tips, pay all servers $15 an hour and tack on an 18 percent surcharge on checks. Tips is such an arcane system. It just doesnt make sense, she said.
Her motive, she says, is to create stability in the workplace, because there is a disparity in pay.
Though servers make a paltry $3.75 an hour, with gratuity a waiter/waitress at Tao Yuan can easily pull down $30 to 40 an hour, she said. In some cases a server is making more than the cooks, the bartenders and even me.
The hate mail came in fast, and a few servers have left, she said. Many people write in saying we will never come to your establishment again. Ive been slandered online, saying we will take this money and put into our pockets, she said. Its frustrating and hurtful.
But Stadler is committed to the overhaul, which kicks in Dec. 1. She is looking at successful models by NYC restaurateur Danny Meyer and joins the soon-to-open Old Port takeout spot Baristas and Bites.
Why now? With a federal law on overtime pay kicking in soon she wants to create a fair and equal workplace. And with more revenue to train staff, she hopes to stem the serious chef drought plaguing the nation.
This gives me the ability to invest in full-time employees and grow the company, said Stadler, who wants to offer paid vacation, training and health insurance to all servers and full-time employees and eliminate anxiety on slow nights.
The move comes amid a statewide vote next month to raise the minimum wage to $12 an hour by 2020. Stadler is getting a head start.
As one of the first full-service restaurant owners in Portland to nix tips, she is crossing her fingers her dream of a better workplace sticks. When her third establishment, wine restaurant Lio opens in Portland next summer, she will have a total of 70 employees to look after.
There is a lot to figure out. This is not the be all end all. Im trying to put in better systems, she said. This is the first step into that foray.
I waited tables and tended bar years ago. While I had better nights than others, I always made more than $15 an hour. It depends on where you work (menu prices, customer base, etc) but I routinely would have an average of 3 tables per hour and getting $6-$7 per table in tips was pretty reliable. The jobs weren’t a career but they were ways to pay bills and have some extra money when needed.
This model will cost her her best servers and customers. She also going to cut off revenue for herself. Without tips there is no incentive to up sell anything on the menu...no desserts, no coffees, no special side dishes, nada.
That 18% surcharge is more than tips. Many places automatically add onto the bill when there are 6+ at a table. That’s dishonest, imo. Add in the filty germy hands of the employees and that’s why I rarely eat out. I made sirloin steaks last night at home with baked potatoes and salad. Total cost per serving less than $2.50 which Mr. b said was better than a steakhouse. Saved a boatload of $$$, didn’t have to get dressed, waste gas, waste 2 hours, and didn’t have to tip a tattooed and pierced server who didn’t do her/his/its job.
I refuse to go to Sam’s Club. Membership or surcharge. It’s the same thing. Why should I have to pay them for the privilege of taking my money? Sam’s could add a penny to each item and more than make up for membership costs while bringing in more customers.
He is now 10 weeks from becoming a United States Marine, and is in basic at Parris Island as we speak.
How could a restaurant owner allow this? Does she WANT to go out of business?
Pretty clear it goes in her pocket. All the waitresses are getting now is the $15 and hour. Simple formula. Less money to the staff, same cost to the customers. The extra has to go in someone’s pocket.
Only way employees would benefit is if there were a lot of Black customers. Since they (generally) don’t tip, they would pay more and the staff would be a little better as to them.
Q. What does the Bao Bao Dumpling House have in common with the FBI?
A. They’ve both lost servers.
Have always disliked tipping and only moved further away from it after having been to Japan for years where it was considered an insult. Then there are the ones who chase you into the parking lot to ask why your tip was so small (yes, i’ve had more than one) attempting to shame you when their service was crap.
My wife, who is Japanese, has basically told me that she would rather eat in or just get fast food/pizza rather than tip, since most service we get doesn’t deserve the standard 15%. It’s cheaper anyway.
That being said when I’m by myself or on business and I get very good service, I have been known to tip 50-100% out of my own pocket and not on expense.
Just pay them the way other industries do at minimum wage or more based on ability and experience, then if the customers feel a tip is needed let them decided. Why does there need to be a special category for them?
In some cases a server is making more than..........even me.
I think that is the telling statement. But more power to her to try. The market place will decide........
She lives in communal mecca west coast and believes the bull.
I agree with you. Put the 18% in the menu prices, and then see if any customers even come in.
Personally, I think the service staff would do better with the low hourly, and plenty of tips, even if the income is variable. With tips, a person can get away with not paying much, if any, in income taxes on tips received in cash.
My mom was a waitress. She worked her butt off.
My hats off to you, and I agree. Take away your tips, and there’s no reason to stay.
Not everyone out here is that stupid! it gets stupider the more northern you go.
In Silicon Valley it’s not communal at all. People just want the opportunity to get rich working hard. It’s Every Man For Himself in a good way.
Yeah, likely not in Southern Maine. :-)
My guess is that this place caters to the tourists, not the locals. But that's just a guess. It's been a long time since I lived up there.
My heart goes out to those stuck in commie central.
From the customer's point of view tips are the only leverage we have. If a server is going to make the same money whether he or she provides good service or behaves like a surly slug what's the incentive beyond self respect and pride in a job well done? Some people have neither and a dangling carrot of a decent tip is the only motivation. And who wants to be required to pay an automatic 18% surcharge for a rude waitress and unpleasant dining experience?
I suspect this restaurant owner will find that it's the best servers who are leaving and that the business will eventually suffer as word gets around that the service in the place sucks. Besides, the whole idea reeks of "Participation Awards" and non-scoring of athletic contests ... "Everybody Wins!". And that reek resembles the aroma of a fresh steamy bovine deposit.
First thing that struck me. I'll bet you$100 this owner is an immigrant from China (I would guess the South of China). That's exactly how they do things there - waiters are hourly employees. Service charges go right into the owners pockets.
As a server you should claim at least 8% of your sales a tipped income. Anything less and you are looking at an IRS audit.
Tips are not tax free as most are on cards.
My kids waited in the recent past, so I know their cases there was withholding/taxes paid on much more that $3 an hour.
A lot of people refuse to go to Sam’s Club.
Their CEO is a racist She upset a lot of people when she said she she wanted minority workers and suppliers and would discriminate against whites in running the company.
Yes she is an overweight female minority.
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