The concept of tipping has always been met with confusion and resistance. Unlike our friends across the Pacific, Australians have never fully embraced the culture of tipping, largely because they believe that fair wages should be provided by employers, not supplemented by customers.

However, a recent incident involving a Sydney restaurant has reignited the debate over tipping in Australia, sparking a fiery discussion online.

The controversy began when a photo surfaced on social media showing a menu from the Italian restaurant Grana, which stated that a '3 per cent gratuity added to all bills' would be applied.

This small detail did not sit well with many Aussies, who expressed outrage over what they perceived as an enforced tipping policy.

This detail on a Sydney restaurant menu has outraged customers online. Credit: u/ndro777 / Reddit

'If 3 per cent applies to all orders, just raise prices by 3 per cent. Considering how much this s*** pisses Aussies off, I’m surprised they would do this over such a small amount,’ one said.

‘I don’t know why restaurants do this when all it does is irritate customers. Like they could just bump their food and beverage prices up a few per cent and not talk about it, and everything would be fine,’ another commented.

In the face of this backlash, House Made Hospitality, which owns Grana and several other restaurants, defended its decision.

‘The optional three per cent surcharge at Grana, communicated at multiple stages during the booking process and again verbally when the bill is presented, is designed to reward our team for their dedication and hard work,’ a spokeswoman said.

‘It also serves to incentivise exceptional service and support increased tenure within our industry.’

They also clarified that the gratuity could be removed upon request with 'no questions asked’.

‘Gratuities are managed through a third-party program, which we believe is the fairest approach, ensuring every dollar goes directly to the team working during that shift,’ she said.

‘Our goal is to deliver a memorable dining experience for our guests while rewarding our team for their efforts. However, we fully respect that not all guests may wish to pay the surcharge, which is why it remains entirely optional.’

However, the menu noted a 10 per cent surcharge on Sundays, a 15 per cent surcharge on public holidays, and a 10 per cent service fee for groups of eight or more, replacing the standard three per cent gratuity.

Despite these assurances, many critics remained unconvinced, with some vowing never to dine at establishments that impose such charges.

‘Don’t ever dine at a place that does this. We seriously need to reject this culture. If you want to tip your waiter/waitress, then you should. Forced gratuity is a joke, you’re already assuming that you’ve provided me such good service that a tip is deserved? I’ll be the judge of that, thank you very much,’ one person wrote.

‘Staff are paid minimum wage. So this is just gouging. I’d be walking out,’ another said.

‘At that point, I’d refuse to pay. I’m either paying for the price on the menu or not at all,’ a third added.

The Australian Competition and Consumer Commission (ACCC) has stated that businesses must comply with the provisions of the Australian Consumer Law to avoid misleading consumers and potentially breaching the law.

‘Under the Australian Consumer Law, restaurants and cafes must display clear and accurate prices and must not mislead consumers about their prices,’ an ACCC spokeswoman said.

‘Businesses must be clear and upfront about any additional costs such as surcharges that might apply, as well as when a charge is optional.’

‘Consumers that have concerns about the addition of charges can report the matter to their local fair trading or consumer affairs agency.’

Key Takeaways

• A Sydney restaurant has sparked controversy by adding a 3 per cent gratuity to all bills, which has angered many Australians who are not accustomed to mandatory tipping.
• House Made Hospitality, the owner of the restaurant Grana, stated that the gratuity is optional and can be removed 'no questions asked' if diners request so.
• The addition of the gratuity is designed to reward staff and incentivise exceptional service, with the proceeds managed through a third-party program to ensure fairness.
• Despite the optional nature of the gratuity, the way it has been presented on the menu has led many to believe it is mandatory, resulting in backlash from patrons who prefer to decide for themselves whether to tip based on service quality.

Have you encountered similar surcharges at restaurants? Do you believe tipping should become a standard practice in Australia, or should fair wages negate the need for such gratuities? Share your thoughts in the comments below!

 

[Gsr]

I’m sure hospitality workers in Australia get paid at least as much as a lot of other service workers in retail, cleaning, the list goes on. So why should we be expected to give a tip only to hospitality workers, surely the rest deserve a tip as well, for exceptional service. I don’t think anyone would like to feel obligated to tip all these other workers, so best to not tip workers in any industry.

 

[Hollingworthlake]

No I haven’t been caught like that but I would refuse to dine at such a concern. On our last cruise we were informed that an additional gratuity would be added to our bill for the ships staff and if we didn’t agree with it we didn’t have to pay. Of course I objected and it was then not charged. But what a nerve!! On these cruises we have tipped the crew who have done a good job (and quite generously) and thanked them and those have been the people we have known and they have known why they have been tipped

 

[Robyn L Westaway]

Welk I for one won't be going there.