TRAVERSE CITY — Oakwood Proper Burgers will end the expectation of gratuity starting March 24.
The restaurant is increasing menu prices to fund a new business model that provides full wages and benefits for its employees.
The change is designed to provide the entire staff with stable, year-round wages and eliminate the income volatility often associated with seasonal tipping. In addition to guaranteed pay, the business will provide staff with employer-sponsored health care and paid time off.
Oakwood Proper Burgers adopts no-tip model to ensure stable wages for employees
Oakwood Proper Burgers adopts no-tip model to ensure stable wages for employees
Oakwood Proper Burgers adopts no-tip model to ensure stable wages for employees
The restaurant stated that the increase in menu prices is less than the average tip percentage customers previously paid. management noted that this pricing change allows the business to build full wages directly into its business model.
Under the new system, the price shown on the menu is all-inclusive. The restaurant stated this transparency is intended to create a simpler experience for diners while ensuring financial security for the service staff. The restaurant described the move as a commitment to its staff and the local community.
The new pricing and wage model goes into effect Tuesday, March 24.