Over the past few days, following massively impressive first months in the stock exchange, Shake Shack's 2015 value began to drop as did its novelty in the market, and now the company's founder and current CEO, Danny Meyer, has made a bold move in all its venues: axing tips.
For most people in the service industry, particularly those in positions such as waiting tables and on cashiers, tips are a huge part of their income, but that won't be the case for Shake Shack 2015 anymore, as the company takes the plunge in banning this practice altogether from their restaurants.
According to Yahoo! News, Meyer announced the new Shake Shack 2015 move last Wednesday, and this new decision will impact the way employees in all 13 of his New York City burger joints are being paid, saying that the move comes with an extra boost: menu prices will slightly rise as well.
As Forbes reports, Meyer went through this Shake Shack 2015 in an effort to have all employees on his staff receiving equal pay boosts, as he mentioned that it was unfair that kitchen employees, who work as hard as those behind the counter, couldn't reap the same benefits as those directly talking to patrons.
The new prices will take about a year to come through, as Meyer and his team figure out the best way to balance out the small price increase with pleasing their employees.
"The gap between what the kitchen and dining room workers make has grown by leaps and bounds," Meyer told The New York Times about the Shake Shack 2015 tip axing, explaining how things have changed in his 30 years in the business, as in that time "kitchen income has gone up no more than 25 percent. Meanwhile, dining room pay has gone up 200 percent."
Could this Shake Shack 2015 move shake things up in the fight for better wages in the dining industry?
