Cash tips are going out of style and workers are impacted
As digital tipping is growing more popular, there are both benefits and drawbacks for workers. Digital payment systems that prompt customers to tip have generally made businesses see increases in the average tip a customer leaves. One company reported an average tip of $14 increasing to $21, thanks to digital “quick tip” options. Cashless tips have also encouraged tipping workers who are not normally tipped. Even with the benefits, some workers prefer cash tips. Workers are concerned they are not receiving the same tip they would have if given directly to them in cash and digital earnings cannot be under the table.
See "Cash tips are going out of style and workers are impacted", Moira Ritter, CNN, August 16, 2021