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Restaurant Sees Profits Triple After It Ditches Tipping Our water bill was cut in half, our linen bill was cut in half, our liquor inventory was lean, Fry told Entrepreneur, crediting it all to greater employee cognizance. |
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Employees have more on the line, too: Bar Marcos new system cuts them into the profits as well. All workers now get a base salary of at least $35,000plus health care, paid vacation and 500 shares in the companybut they also get bonuses. Because of his recent financial boom, Fry says salaries could end up between $48,000 and $51,000 this year. |
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Frys take on tipping is simple and logical. Whether its good service or bad service, people tend to tip the same amount, he said, citing a Cornell professors findings. When you have bad service, you just dont go back. So in reality, tipping hides how people actually feel. |
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Plus, Fry says how you pay your employees shows how you feel about your business. You cannot tell me that your business model relies on paying people below the poverty line, he said. You gotta have more pride in your business than that. |
You're going to burn, burn, burn! :p
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