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DestraD t1_ir3lt5o wrote

Reply to comment by indyk in [OC] Do people tip in restaurants in Poland? by scheisskopf53

Your country also isn't the United States with 320 Million people, the circumstances are different here, Low Skilled Labor Jobs are Competitive, a Waiter Or Waitress makes the most because of Tips also you have to understand here Higher Wages have hidden costs what employees makes the employer also has to pay more to Insure, Higher Unemployment Tax, Higher Fico Taxes an Employer pays 7.5% of Wages as a social security and Medicare tax as the Other 7.5% is payed by the employee. Restaurants are extremely competitive, so very low margins that's why fast food is so popular here lower operating costs because of large scale distribution centers.

Tips go largely unreported as taxes, which allows people to afford to live 30% of your income when your poor is the difference between poverty and the ability to improve your life and gain higher skill quality.

Food Prices increase as costs increase most people running Restaurants are not wealthy your probably lucky to gross 60 or 70k with one location unless you sell upscale food in a highly urban area, most of the United States is Suburban or Rural, and the Tips mostly come into play in Rural Small towns, your local diner is a primary employer.

We have regulated standard prices in the fast Food Industry and they are the lowest payed employees in the Food Service Sector. Your McDonald's Chipotle Taco Bell Wendy's etc etc.....

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indyk t1_ir4azgm wrote

The US is different, but I’d think that not by much. The same factors are at play. The thing is that we don’t have indulge in theoretical analysis.

We can simply look at how it works in other places in the world. I can surely agree that restaurant business in Europe is not an easy one. However it does work. The prices of restaurant meals are lower than in US even before that awkward tip thing that you tax your customers with. Are the raw products cheaper in Europe? I guess not.

I think you have taken the perspective of the restaurant owner. And yes, it’s better for him to be able to pay less for the work force.

However it’s worse for employees and it’s worse for customers. I’d rather go with that.

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DestraD t1_ir5k554 wrote

A business has to turn a profit, first no profit no business no employees most people that do own restaurants are not wealthy, you have to consider all perspectives not just one.

Pretty sure europe is more expensive and has a much smaller population and not as much competition.

I can tell you atleast in Florida the employees would much rather have Tips then a standard $15 wage.

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