Cincinnati Enquirer: Why Newport restaurant has 'no tipping' policy
"No tipping" signs are posted prominently in the restaurant and on the menu; there is no line for a tip on credit card receipts.
Bob Conway, owner of Packhouse, said he got "pummeled" for it on review site Yelp by people accusing him of taking advantage of employees. Said Conway: "We did it to protect the servers."
He thinks it is actually the established custom of tipping that takes advantage of servers, especially in the casual end of the market. Packhouse Meats is his experiment to find a better way.
Packhouse servers earn $10 per hour or 20 percent of their individual food sales per shift, whichever is larger – almost always the 20 percent. And servers have to meet certain goals – sales and service targets, for example – to get their 20 percent.