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'It was inappropriate': 'Tip-flation' spreads in untraditional ways in Canada

'It was inappropriate': 'Tip-flation' spreads in untraditional ways in Canada

CTV
Tuesday, February 20, 2024 2:04 PM GMT

From stops at the liquor store to getting a fob key made, here's what Canadians had to say about where they were asked to leave a tip, and what they thought about it.

Some Canadians say they are fed up with tipping partly because they think it has become common in places it didn't exist before.

Some say prompts for bigger tips have been the norm since the pandemic when many were supporting local businesses.

"Mental yardsticks for tipping have moved somewhat and expectations have changed, putting more pressure on consumers to pay more tips," Sylvain Charlebois, director of the Agri-Food Analytics Lab at Dalhousie University in Halifax, said in an email to CTVNews.ca. Charlebois will release a report on tipping practices and the related consumer behaviour in the spring. "This practice can make tipping feel more compulsory and may lead to higher overall costs for consumers." 

Dariya Baiguzhiyeva, spokesperson for the Canadian Federation of Independent Business, says the reasons can vary for why a business owner's point of sale machine may propose higher rates.

"However, it's crucial to understand that bars and restaurants have been facing mounting pressures in the last four years, including lockdowns, labour shortages, lower consumer demand, and higher taxes, minimum wages, and interest rates," Baiguzhiyeva said in an email to CTVNews.ca.

CTVNews.ca asked Canadians their opinions about what many believe is the rise of "tip-flation" and "tip creep."

CTVNews.ca has not independently verified all the emailed responses.

Read full story on CTV
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