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Work Zone: Tipping weathers tougher times
Monday, May 12, 2008

Notwithstanding the Bush administration's reluctance to use the "R" word to describe the economy, there is no denying that things are tight. Even as the government is sending out checks to jump-start spending, consumers are looking for ways to save money, rather than to spend more of it.

But we still go out for dinner or for drinks, we still travel, we still get our nails or our hair done. And the people who serve us in those contexts still rely on our willingness to spend money -- indeed, on our generosity -- to earn their living.

Which leads to this question, "Is the state of the economy leading people to tip less?"

William Michael Lynn, associate professor in the School of Hotel Administration at Cornell University, said that while no formal studies have been done to determine the impact of the economy on tipping behavior, "it does make sense that people would tip less in bad economic times."

In the absence of a formal study, the PG conducted an informal one for answers to the question, "Is the state of the economy affecting people's tipping behavior?"

The answer: not as much as one might expect.

Christie Vanorsdale, a server at Six Penn restaurant Downtown, said she has noticed a drop in the number of patrons she serves, but those who still come do not seem to be spending less.

"The economy's not affecting my paycheck," she said. "If people are going to spend $15 on a burger, I assume they can afford to leave me some money."

Tommy Balestreire, owner of Fat Tommy's Pizzeria on Market Square, summed up the situation with "People are spending the money anyway."

Gino Perella, who works at the pizzeria part time when not building his own practice as a business consultant, chimed in, "The last industry that gets affected by any type of recession is a bar."

Echoing Ms. Vanorsdale, he said, "If people are out, they have the money" to tip.

Josh Weir, a delivery driver for Fat Tommy's, said he has seen "a slight decrease ... a very minimal amount."

At Doubleday's, a 6th Street casual sports bar, owner Steve MacDonald has noticed a change in how customers tip. But the change has nothing to do with the national economy and everything to do with the local one.

Mr. MacDonald, like many bar and restaurant owners, continues to oppose the so-called "drink tax" that went into effect Jan. 1, and has refused to charge his customers for it. As a result, he says, "Tips are better" for the servers at Doubleday's.

Half a block from Doubleday's, Renaissance Hotel bellman Steve DonGiovanni, who has been at the hotel for two years, and in the industry for 16, said he did not believe the overall economy has affected his tips, or those of other lobby workers there.

"I think that in general, some people tip well, some people don't. That's just in their nature."

Doug McKenney, a server in the hotel's Opus restaurant since September, said most of his customers put their bills on corporate credit cards, and that "the entire time I've been here, it's stayed at about 16 percent average" for tips. He noted that rather than changes in tipping behavior, he has seen changes in buying behavior that suggest that "people are trying to get what they can for their money."

"They'll ask how big things are," he said, "or 'Do you think this will fill me up?' "

But so far, no significant decrease in tips. "It's actually pretty amazing, as bad as the economy is."

At Kenny's Nail Center on Wood Street, Vy Nguyen, of Beechview, said she has not seen a noticeable drop in the tips she receives as a manicurist.

"It depends on the individual and the kind of customer you get," she said. "Some of them tip well, and some don't tip at all."

In fact, she said, she has started to get larger tips from some customers because "I'm starting to socialize with the customers a lot more."

Socializing with customers falls right in line with the advice offered by Mr. Lynn in his 32-page booklet, "Mega Tips -- Scientifically Tested Techniques to Increase Your Tips." Mr. Lynn's tips include introducing yourself by name, smiling broadly (and sincerely) at customers, and casually touching them on the shoulder.

That type of behavior likely would have infuriated W.R. Scott, who in a 1916 anti-tipping volume titled "The Itching Palm" asserted that, "A waiter, knowing that his compensation depends upon what he can work out of his patron, employs every art to stimulate the tipping propensity, from subtle flattery to outright bulldozing."

Mr. Scott was not alone in his opposition to tipping. Although tipping, or something like it, dated back to at least the 16th century in England, when houseguests were expected to give gifts (called "vails") to their host's servants who went above and beyond the call of duty, the practice did not emerge in the United States until the late 1800s.

Before then, the class divisions implied by tipping made it seem antithetical to the American idea of all men being created equal (even if that idea extended only to white male property owners).

However, as more Americans traveled to Europe, they brought the practice of tipping back with them when they returned -- to show that they had been to Europe, you see.

But the practice met with widespread resistance, and at least seven states passed anti-tipping laws before it became accepted as a cultural norm.

Don Jefferson may never touch anyone's shoulders, but he touches their feet, in a sense. Mr. Jefferson has operated a shoe shine stand in PPG Plaza for 24 years. When asked if his tips have gone down in recent months, he said, "Big time!" But he declined to elaborate further.

On the consumer side, Thomas Downs, a sales clerk at Kashi Jewelers, confirmed Mr. DonGiovanni's and Ms. Nguyen's assertions about tipping being part of a person's nature.

He said the economic downtown has not affected his tipping practice.

"I always tip generously," he said.

Likewise, Christopher Costello, of the South Hills, said, "I always like to give at least 20 percent, depending on performance."

But Phil Davis, of the Hill District, said "I don't tip as much as I used to" when going out -- but he cited the drink tax, rather than the overall economy, as the primary reason.

Only one consumer said the overall economy has led him to reduce his tips. Sam Bonnoni, of Economy (honest), said, "With the price of gas the way it is, there's less money to go around. It's just tough."

Elwin Green can be reached at egreen@post-gazette.com or 412-263-1969.
First published on May 12, 2008 at 12:00 am
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