🎬 You Are Going to Watch...

You are going to watch three video clips about tipping culture in America. In recent years, the simple act of leaving a tip (or a gratuity) has become more complicated and sometimes controversial. The videos will explain how tipping amounts have changed over time, why we are being asked to tip in more and more places, and how new payment technology is driving this trend.

Reminder: Now, before you watch the video, take a look at the vocabulary list by clicking the button hovering on your screen. This is where you can always access the vocabulary list for this unit. Familiarize yourself with those important words and expressions.

📺 Watch the Video

Watch the four video clips about tipping culture in America.

Part 1: Tipping Culture in America

📝 Practice Exercise - Part 1

Complete the summary below. Write ONE WORD OR A NUMBER for each answer.

The video clip explores the rising phenomenon known as , where tipping has become more frequent and expensive. Over the past several decades, the expected tip percentage has climbed from in the 1950s to as high as 25% today.

A major driver of this trend is modern , such as payment tablets that are now present in almost every transaction. These systems are not just in full-service restaurants but also in locations like coffee shops and even drive-thrus. This has led to a significant growth in the number of tips given.

According to an expert, this creates social on customers, who may feel guilted into tipping for tasks that are part of an employee's basic job. As a result, many consumers are reportedly feeling about being prompted to tip so often and for so many different things.

Part 2: The Evolution of Tipping

📝 Complete the Outline

Write NO MORE THAN TWO WORDS AND/OR A NUMBER for each answer:

The History and Practice of Tipping

I. Historical Origins

The word "tip" is an acronym for "to insure ".
The practice most likely began in Medieval Europe.
Theories on its origin:
- Noblemen threw coins to ensure safe when travelling.
- In drinking establishments, tips were used to prevent feelings of from staff.

II. Development in 19th Century America

After the Civil War, restaurant owners hired freed and justified not paying them a full wage.
The rationale was that these workers were receiving the of being tipped.
As tipping became common in the US, it was replaced in Europe by mandatory .

III. The Modern US Legal System

The Fair Labor Standards Act, which created the first federal minimum wage, was introduced in .
The federal minimum wage for tipped employees has remained at $ since the year 1991.
In a total of states, employers are not legally required to pay the full minimum wage.
The system operates on the assumption that tips will make up the in pay.

Part 4: Technology and Tipping

Exercise: Complete the table below

Write ONE WORD for each answer:

Technology Concept	Effect on the Customer	Impact on the Business
Traditional Tip Jar	- The act of not tipping was considered a "sin of " - Allowed customers to just throw in their .
POS Systems (e.g., Square, Toast)	Provide an easy-to-use interface with large buttons.	Offer all-in-one solutions that can include tools for employee management and .
Pre-set Tip Amounts	- Act as a guide for what is a normative . - Can make customers feel pressured to give a larger amount.	Helps to improve performance.
Active 'No Tip' Button	- Described as turning the decision into a "sin of ".
Starbucks Tipping Feature		- Was rolled out to stay competitive in , 2022.

🎧 Listen and Answer

You will hear a news report about tipping in Australia. Listen carefully and then answer questions 1 to 3.

Tipping in Australia

Transcript: Tipping in Australia

A new report shows that Australians continue to reject tipping, with 43 per cent saying it's not part of Australian culture.

The survey interviewed more than 1,000 Australians on how they feel when prompted to tip in hospitality venues.

The report found that Baby Boomers are the most opposed to tipping, with 50 per cent saying they refuse to do it, while Millennials were the most in favour, with 15 per cent say they always support tipping. Meanwhile, Gen Z were the most flexible, with 33 per cent saying they'll tip for good service.

Finance Expert Sean Callery says that Australians are resisting the shift towards obligatory US-style tipping.

"Tipping might be the norm in places like the U.S., but Aussies aren't buying into it — even though more venues are adding tip prompts of 15–20 per cent at checkout. It feels automated and forced. Most Australians expect hospitality staff to be paid fairly by their employer for providing a service, not subsidised by the customer," he says.

The results also showed that 18 per cent of those interviewed feel uncomfortable about tipping, but will do it if pressured; 29 per cent don't mind tipping, depending on the occasion; 7 per cent say they like it as a way to reward good service; and only 4 per cent always tip, saying hospitality staff deserve extra pay.

🎤 Speaking Practice

🖥️ POS System Mock-up

Try the POS system mock-up below and think about your feelings when choosing different tip options.

Add a Tip

For exceptional service

Total

$0.00

Speaking Practice Questions:

1. Try the POS system mock-up and think about how you feel if you choose "No Tip." Do you feel a social pressure to tip, even if you don't want to? Does your feeling change if you imagine you had good service versus bad service?

2. Now, flip the scenario. Imagine you are the server. How would you feel if a customer gave you a generous tip after you provided excellent service? How would you feel if you worked hard during a busy shift and a customer left no tip?

🎤 Record Your Answer

Click "Start Recording" to begin

✍️ Writing Practice

🎥 Watch the Dr. Phil Tipping Debate

Watch the following video clip from Dr. Phil, an American talk show created by Oprah Winfrey and the host Phil McGraw. In this clip, Dr. Phil dives into the heated debate over tipping culture in America, where guests voiced their opposing views: Walter, who refuses to tip and believes gratuity should be optional and service workers Jackson and Theresa, who defend tipping.

✍️ Your Writing Task

After watching the video, who do you agree with more: Walter (the customer who refuses to tip) or Jackson and Theresa (the service workers)?

Write a short paragraph explaining your choice. Use at least two reasons to support your opinion, drawing from the arguments made in the video and your own experiences or thoughts.

📝 Writing Structure Guide:

1. Opening sentence: State which side you agree with more

2. First reason: Explain your first supporting argument

3. Second reason: Provide your second supporting argument

4. Conclusion: Summarize your position or add a personal reflection

0 words Target: 100-150 words

💡 Writing Tips

• Reference specific arguments from the video to support your points
• Consider both perspectives before stating your position
• Use personal experiences or observations to strengthen your argument
• Keep your writing clear and well-organized

Unit 5: Tipping Culture