Wednesday, February 20, 2019

SIX THINGS MOST PEOPLE DON'T KNOW ABOUT THE SERVICE INDUSTRY



I have been back in the food serving industry for six months now. I believe there are some things about this industry that most people do not realize. Some of these things seem minuscule but added up all together; it can be quite an eye opener for some.

Minimum wage for servers in my state is $2.13 per hour. It has been this rate for as long as I can remember. Servers make their living off of tips – this should be considered a commission-based industry.

Most servers do not clock in and hit the floor to make tips.  Some servers even have to pay parking where they work so essentially they paying money to be able to park to work before getting a dime in tips.  After paying to park, many servers have at least half an hour to an hour of “pre-shift” work to do (at $2.13 an hour) before they can get on the floor to serve and make tips.

Servers do not get to keep all of their tips. Most establishments require tipped servers to “tip out” other employees.  This includes bartenders, food runners, bussers, hostesses and at some places, kitchen staff. Some places I have worked at has allowed the server to tip what they deemed appropriate, but most places rely on a percentage of food and alcohol sales to determine the amount that the server is to “tip out”.  This amount is then divided amongst the crews it gets given to. At my workplace, the tip out is between 2.5 and 4% (depending on the amount of people working) of my food and alcohol sales (bartenders get tipped off of alcohol sales, others get tipped of off food sales). This is non-negotiable.  When a table doesn’t tip me or forgets to leave me the correct credit card receipt with their tip and signature (which I am required to claim a $0 tip on), I am still required to pay my tip outs.

Most diners are unaware of credit card fees.  Where I work, we are required to pay 2.5% of our credit card tips to pay credit card processing fees. This is the only place I have worked for that has operated this way, but I have been out of the industry for over a decade so perhaps now this is something standard.

In order to serve alcohol in Indiana, servers must obtain a Liquor License and pay a fee. In addition to this, some establishments require additional training and courses such as Serve Safe and Bar Smarts (many of which time spent to complete the course is not paid for), some are free and some require out-of-pocket costs billed immediately and directly to the server.  The most recent course I was required to take was four modules that included reading and videos to watch and tests for each module, combined with a final exam at the end of the course. The total personal time invested was 3-4 hours. Most of these modules covered alcohol knowledge and history, which is extremely knowledgeable for certain servers and especially bartenders. I usually work breakfast shifts and rarely have anything ordered other than a Mimosa. I do work lunch shifts but most of my clientele are having working lunches so I found little use nor do I feel I will remember much of what I learned six months from now. However, this was a mandatory course for me to continue to be scheduled to work.

Many servers enjoy their work.  To some people that have never served before, you might think that we are all a bunch of college kids working for our nights out. This is not the case.  Most people are serving tables because they enjoy it and can usually make decent money in quick amounts of time. I have worked side-by-side with grad students, graduated students, sales professionals and others. I worked with one gentleman who graduated law school but is still working in the same restaurant. Why? Because it provides him a quality of life he enjoys and it usually pays the bills.

Next time you go out to eat, remember this blog. Think about the big picture while you are dining. Put yourself in your servers’ shoes; most of them are there because they enjoy it and want to make your experience better.








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