thanks for visiting cnnmoney.

We're no longer maintaining this page.

For the latest business news and markets data, please visit CNN Business

These restaurants don't take tips

A handful of restaurateurs have started 'no tipping' policies. Here's why, and how they're paying their staff.

Guaranteeing a fair wage

Thad Vogler Bar Agricole
  • Where: Bar Agricole, San Francisco
  • Owner: Thad Vogler

At the beginning of 2015, prices at Bar Agricole increased by 20% to provide salaries for the staff. Wages vary by position.

Why: The minimum wage is set to rise to $15 in the City by the Bay by 2018, and Volger thought it was time to get ahead of the move. "Most of my employees are making about that, and it seems crazy to not guarantee that in a city like San Francisco." Not to mention, tip-based compensation can be a tax and paperwork juggernaut. "The possibility of making [the payroll] like any other business is appealing," he said.

The result: Some workers are taking home less than they were in 2014, but the pay is consistent and morale and retention has improved, explained Volger.

  @KathrynVasel - Last updated May 20 2015 11:40 AM ET

Partner Offers

Find Homes For Sale

Most Popular