The Tipping Backlash Has Begun

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People are cutting back on tipping, frustrated by ubiquitous requests for gratuities.

As of November, service-sector workers in nonrestaurant leisure and hospitality jobs made $1.28 an hour in tips, on average, down 7% from the $1.38 an hour they made a year prior. The data is according to an analysis of 300,000 small and medium-size businesses by payroll provider Gusto.

The tipping slowdown is a gloomy development for all types of workers who rely on holiday tips as a chunk of their annual income. It reflects a broad frustration with the proliferation of tip requests at dry cleaners and bridal boutiques and even self-checkout machines that have sprung up since the pandemic.

Mary Medley, a Denver retiree who described herself to The Wall Street Journal in July as a unilaterally prolific tipper, is one of those who has become more discerning in recent months.

“It feels not as good to tip now that it’s popping up everywhere,” says Medley, 70 years old. “What started out to be a way to acknowledge excellent personal service feels like it’s become a way to help supplement worker compensation.” 

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