May 14, 2016
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6:08Now PlayingJoe’s Crab Shack launched a 'no tipping' program in some of it’s restaurants. The experiment largely failed. Cenk Uygur and Ana Kasparian, hosts of The Young Turks, break it down. Tell us what you think in the comment section below.
“Joe’s Crab Shack has cut back its no-tipping test to just four restaurants from 18 after encountering customer and worker disapproval over the past 10 months, company executives say.
“The system has to change at some point but our customers and staff spoke very loudly,” said Bob Merritt, CEO of Joe’s Houston-based parent company Ignite Restaurant Group, in an analyst call last Wednesday. “And a lot of them voted with their feet.”
Merritt said Joe’s Crab Shack customer research indicated nearly 60 percent disliked the no-tipping program, which launched last summer in Indianapolis and was expanded later in the fall to 18 restaurants in the Midwest.
“We got negative customer counts between 8 percent to 10 percent on average among the 18 restaurants, and we tried it for quite a while, tried communicating it different ways,” Merritt said. “So in those 14 restaurants, we are going back to the more traditional structure.”
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Hosts: Cenk Uygur, Ana Kasparian
Cast: Cenk Uygur, Ana Kasparian
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The Largest Online News Show in the World. Hosted by Cenk Uygur and Ana Kasparian. LIVE STREAMING weekdays 68pm ET.
Young Turk (n), 1. Young progressive or insurgent member of an institution, movement, or political party. 2. Young person who rebels against authority or societal expectations. (American Heritage Dictionary)
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