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While many industries have adopted the practice, tipping is most entrenched in the restaurant industry, where workers rely on gratuities to make up much of their wages. Here's how tipping came to America in the first place, and how it became institutionalized in food services, specifically. But the company that "really institutionalized" tipping, Zagor says, was the Pullman Company, which built and operated railroad cars. But when restaurants were added in 1966, they weren't covered under the typical minimum wage as other industries ultimately were. 'The whole thing is shifted onto the customer'These days, tipping is deeply embedded in the restaurant industry.
Persons: Kerry Segrave's, Stephen Zagor, Zagor, Franklin D, Roosevelt, what's, Harry Holzer, Jena Ellenwood Organizations: Columbia Business School, Employers, Pullman Company, Pullman, Library of Congress, Workers, Companies, Labor, Georgetown University, Brookings Locations: America, Europe, U.S
By the 1700's, tipping in Europe had evolved from masters tipping servants to customers tipping service-industry workers. Seven states passed anti-tipping legislation in the early 1900sBy the early 1900s, early grumblings about tipping had escalated into full-fledged anti-tipping movements. But in 1919, the Iowa Supreme Court ruled that the state's anti-tipping law was unconstitutional, and other states followed by striking down or repealing their own similar legislation. Tipping persists in the US todayDespite originating in Europe, tipping has become deeply ingrained in American culture. Today, while many Americans aren't fans of tipping, and some restaurants have tried doing away with the practice, tipping is unlikely to be banned anywhere in the US anytime soon.
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