Case Study Joe's Crab Shack
The no tipping club has just earned its biggest member yet. Joe's Crab Shack has just announced that it will abolish tipping at 18 of its branches around the country. The move marks the first time a major restaurant chain has dabbled with a tip-free salary scale.
According to Restaurant Business, servers at the affected locations will see their new wages start at $14 an hour. That figure may rise depending on the employees' track record and past performance says the report.
The salary increase is being offset by a 12 to 15 percent price increase across the menu.
During an earnings call with investors last week, company CEO Raymond Blanchette said, "Servers, hosts, bartenders are paid now higher, fixed, hourly wages and it's expected to result
According to Restaurant Business, servers at the affected locations will see their new wages start at $14 an hour. That figure may rise depending on the employees' track record and past performance says the report.
The salary increase is being offset by a 12 to 15 percent price increase across the menu.
During an earnings call with investors last week, company CEO Raymond Blanchette said, "Servers, hosts, bartenders are paid now higher, fixed, hourly wages and it's expected to result