by Executive Chef Walter Potenza, contributing writer
How America’s gratuity culture spiraled out of control. It seems like everyone is on the grab and go without any particular logical explanation.
Friends:
In the past, tipping in America was a simple way to say thank you. Now, it feels like a constant demand wherever you go. You’re not just tipping servers anymore—it’s also the barista, the takeout counter clerk, the rideshare driver, and even the self-checkout machine asking for tips.
What started as a reward for good service has become a significant cultural and economic issue. Let’s explore how tipping began, why it has grown, and why many Americans always tire of being asked to tip.
The Roots of Tipping: A European Import turned American obsession. Tipping didn’t start in the U.S.; it came from Europe during the Middle Ages. Rich people would give extra coins to their servants as a sign of kindness and to show off their status. By the 16th and 17th centuries, this habit was common in England, where travelers tipped innkeepers and stable hands for good service. Wealthy Americans who traveled to Europe after the Civil War brought this custom back, wanting to imitate the sophistication they saw abroad.
Not everyone accepted tipping right away. Many Americans disliked it in the late 19th century, seeing it as unfair and similar to bribery. Newspapers wrote angry articles, and anti-tipping groups argued that tipping made workers beg for wages. However, the restaurant and hospitality industries saw a chance to benefit. By the early 20th century, they used tipping to keep menu prices low and make customers pay workers.
The Great Depression reinforced this practice. Businesses relied more on tips to survive, and when the federal minimum wage was introduced in 1938, a special low wage for tipped workers existed, still just $2.13 an hour today.
The Explosion: Technology, Guilt, and Corporate Greed.
By 2025, tipping had become a significant issue. One reason is technology. Digital payment systems, like iPads and touchscreens at counters, make it easy for businesses to prompt tipping. You buy a $5 coffee, and the screen asks if you want to tip 15%, 20%, or 25%. The “No Tip” button is small and makes you feel guilty while people wait behind you.
Studies show these prompts increase tipping by up to 30%. It’s practical psychology, and it works. Another reason is the gig economy. Companies like Uber, Lyft, and DoorDash made tipping normal for services that used to be straightforward. Drivers and delivery workers, often classified as independent contractors, depend on tips because their base pay is unstable.
Consumers, who are used to tipping at restaurants, now tip in these new situations, too. By 2024, many people were complaining online, questioning why they should tip an Uber driver on top of a $20 surge fee or tip DoorDash before food arrives. Corporate greed plays a significant role as well. Companies realized they could make customers pay employees while increasing profits.
Fast-casual restaurants, where you order at the counter and clear your table, now often ask for tips despite minimal service. A 2024 report showed that 70% of restaurants used digital tip prompts after the pandemic, even as menu prices increased. Meanwhile, workers’ wages have not improved much, averaging around $15 an hour, barely keeping up with inflation.
Companies keep the extra money, and customers end up covering the difference.
Why Consumers Are Drowning—and Pushing Back.
Today, tipping fatigue is very real. A 2024 survey found that 62% of Americans feel pressured to tip more often than they want, and 45% say they tip for services they don’t think deserve it. Social media is full of complaints, like tipping 20% for a $10 smoothie they picked up or being asked to tip at a self-checkout machine.
The wrap!
Tipping has spread to bakeries, oil changes, and online retail pickups. It’s not just restaurants anymore; it’s everywhere. The reasons are many: rising costs due to inflation, wages not increasing, and businesses using customer goodwill to avoid paying fair wages. After COVID-19, there was a big push to support service workers, and tipping went up to help struggling staff. But that sympathy is fading as prices rise, and tipping becomes expected everywhere. For example, a $20 burger now might come with a $5 tip expectation, and people are starting to push back.
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Chef Walter is featured HERE every Sunday with his regular Ask Chef Walter column!
Meet Chef Walter! There is a constant, recognizable thread in the career of Walter Potenza to elevate the level of Italian culinary culture in the United States. Besides his unquestionable culinary talent and winning business perspective, Chef Walter has been a relentless educator with passion and knowledge who defeats stereotypes. His life, career, and values are a model, an example to follow by any chef of Italian gastronomy working outside Italy.
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