Another Restaurant Shifts to a No-Tipping Business Model

Hot off the heels of new neighbourhood spot Bistro Rosie declaring that it would embrace a tip-free model for paying its staff, a second restaurant has decided to do the same — Zéro8, also in Petite-Patrie. The restaurant is known for catering to a wide range of food allergies and intolerances, with its food totally free of gluten, nuts, and more.

While Rosie adopted the model from the outset (it opened just a few days ago), for Zéro8 it’s a change from the restaurant’s previous, tips-accepted approach (Zéro8 is also a larger operation than Rosie, with more staff). Per the Huffington Post, the restaurant wants to eliminate the wage gap between the kitchen and front-of-house staff.

In an open letter, Zéro8 co-founder Dominique Dion said that staff will be guaranteed a wage of at least $15 per hour. He also notes that customers should save money on their bill, explaining that because electronic payment methods add tips on after tax, tips end up bloated beyond the amount that customers intend to leave (given Quebec’s sales tax, a 15 per cent tip becomes 17.25 per cent).

The implication here is that Zéro8 will add a flat service charge onto bills in place of a tip (the Huffington Post stated that this would be the case), but the letter just states that service will be “included”. Presumably, if a service charge is added on, staff wages could go beyond the $15/hour rate on a busy night. Bistro Rosie, in comparison, has set fixed salaries, and doesn’t have any sort of automatically-added service charge.

At present, Zéro8 and Bistro Rosie are the only two full-service restaurants in Montreal with a no-tipping approach.

• Un restaurant abolit les pourboires à Montréal [Huffington Post]
• ZERO8, ZERO-tip [MailChimp]
• Ma’tine Owners Are Back With A No-Tips Neighbourhood Bistro [EMTL]