The Role of Tipping in Reducing Labour Costs: Case of Sector Retail Petroleum Products

Proceedings of the International WorkshopTourism and Hospitality Management (IWTHM2021)

“…Raspor and Rozman (2016) found out that tipping is not used enough as a tool to motivate employees. In past research Raspor et al (2014) found a correlation between methods used to increase the value of tips and better service quality, increased financial and numerical flexibility, motivation, satisfaction upon receipt of tips and the method used to increase the value of tips. Lynn and Graves (1996) found that managers may need to assume a larger, more active role in monitoring and rewarding service employees, they find out that tips provide only a weak incentive, and in that case managers need to supplement customer tipping with other forms of evaluation and incentives (work schedules, preparation and clean-up assignments, customer seating decisions etc.…”

“…Thus, users of tourist -catering services could be determined and undecided guests, patient and nervous, cholera and phlegmatic, sensitive and rational, modest and boastful, pleasant and unpleasant, sympathetic and unsympathetic, having standard and non-standard demands, open and closed personalities, boastful and unboastful, prone to excess or calm. Since guests demand a high quality of service, employee skills must evolve to meet their demands (Raspor, Miglič, Vukovič, & Rodič, 2014). For this reason, the managers, as well as experts, are trying to devise ways to persuade employees to enhance the quality of service, improve their work motivation and enhance the worker output (Raspor & Rozman, 2016).…”