Admin fee on tips

Sorry, but Princess and HAL both skim about 10% from the tip pool before it is paid to the crew. They use this money to pay credit card fees and to establish a "slush fund" to cover tip pool shortages on other ships when too many Brits and Aussies remove the auto-tips.

So, Princess uses gratuity money to pay some of their operational costs; and, does not 'chip in' to meet guaranteed minimums when tips fall short - it's just 'redistributed' gratuity money?

That's interesting.

This should be a good thread. I'm making popcorn.

Don't forget the butter :p

Don't forget the butter :p

Don't have enough... I'm in the dining room, it's rationed.

Maybe Princess could skim a little more off the gratuities and put it toward purchasing butter for the MDR?

I posted this schedule in another tread a couple of weeks ago.The information was taken from the respective websites. You can ask what the Alternatives Services or Other Hotel Services are, but neither indicate an administrative fee is included.

Carnival Cruise’s Auto Gratuity is $12.95, split as follows:

Housekeeping Team - $4.05

Dining Team - $6.40

Alternative Services - $2.50

RCCL’s Auto Gratuity is $13.50, split as follows:

Stateroom Attendant - $3.45

Dining Services - $6.10

Other Hotel Services - $3.95

:)

So, Princess uses gratuity money to pay some of their operational costs; and, does not 'chip in' to meet guaranteed minimums when tips fall short - it's just 'redistributed' gratuity money?

 

That's interesting.

Remember that all service charge money is not distributed on the ship you sailed.

I was surprised how many Princess Elite cruisers were unaware of that policy.

Annie

I cannot recall seeing an official statement by any cruise line on the subject. Unless and until such appears we only have speculation.

Don't ever expect a cruise line to make an official statement about this. Look at how quickly people have objected here.

Personnel are PROHIBITED from discussing internal policies. (I doubt an active member of the purser's staff would make statements on here.) Yet some have spoken up and there have been other discussions on here about this.

While Princess passengers are automatically charged the gratuity, Princess doesn't automatically distribute 100% directly to the people you think.

Ever wonder why waitstaff push those extras? Drinks and bottles of wine; after dinner drink specials; paid reservations for wine tastings; etc.

There are incentive programs in place, and making goal means a financial reward.

I doubt the portion not paid directly is ever used for anything unrelated, such as marketing or cleaning supplies. And perhaps that's why the cruise lines feel that "how" they state the distribution to guests and "what" they actually do both align.

What I find distasteful is a situation I witnessed two days ago on board Crown, at the Guest Services Desk. Two blue card passengers were learning through explanation by the Guest Service Agent why this charge was on each account. Their reaction seemed to indicate the charges were unexpected and perhaps not budgeted.

I am certain that I heard the Guest Service Agent inform then that they could have the charges removed.

I personally wish Princess would just bake in the fare what they felt they NEEDED to allocate towards those positions as a gratuity and incentive bonus/gratuity. This would eliminate the option of removing it.

If there's a service issue, speak up at the time it occurs. Rather then removing $13.95 (or whatever) per day simply because they forgot the lemon for the iced tea.

 

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If there's a service issue, speak up at the time it occurs. Rather then removing $13.95 (or whatever) per day simply because they forgot the lemon for the iced tea.

You don't have to remove your tips entirely if they forgot your lemon, you can reduce them to $10 PP PD which is what the staff actually will receive and feel you have tipped the staff but not the Corp. offices.

You don't have to remove your tips entirely if they forgot your lemon, you can reduce them to $10 PP PD which is what the staff actually will receive and feel you have tipped the staff but not the Corp. offices.

It doesn't work that way: the entire tip pool is reduced. The percentage allocated for incentives etc. still remains.

I was making the point that the auto-gratuity shouldn't be touched, and I was implying that people remove it, justifying their actions using silly things, when in reality I personally think it was their own financial motivations.

With you Tom, and also why just Brits and Aussies?? we have auto tips included in our fares on our cruises out of Aus but pay auto tips on all other cruises and just as many “other nationalities” talk about removing auto tips, not Brits and Aussies [emoji35]

 

 

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Porky, I'm a bit confused here. My comment had nothing to do with who does auto tips or not or with Brits & Aussies. Oh, well, it's Monday.... ;p

Tom

Being Canadian, we tip everybody all the time...it's a cultural thing. However, we don't care what everyone else does....just not our business. We take care of "our" staff as generously as we deem appropriate in cash at the end of the cruise in addition to the auto grats. Makes us happy, makes them happy. Win, win for all.

Every time I read one of these blogs I always think back to the motivation of some Marketing Executive, who in my opinion was brilliant.........the average and majority of people will leave the tips on (mainly from guilt), then the average and majority of people will provide additional tips to their servers because that was the way we were trained as customary and we don't want to look cheap when that steward is standing there waving good by!

Win win for the cruise line......they make up the difference for those who remove the tips and don't pay and in probably most instances, get their employees more tips than they normally would have received.

This is what I do and I know I tip more now than I used too!!!!! I'm just one of the sheep who fell into line! Always chuckle to myself but know that I have had excellent service and the additional tips are normally warranted.

Its amazing how the gratuity payment has evolved.... Early days you handed an envelope to cabin attendents, dining room servers, maitre'D. I prefered this as it was more personable and I found I actually received better service in those days. Of course, we then had the passengers who conveniently would not tip which did impact the staff who worked very hard all week.... Very sad. Other gratuitys for bar drinks, etc were added into the Point of sale purchase. That was it.

Fast forward some years and now all the ships are automatically adding and you have to go out of your way to adjust (if you need/want to). On top of this they are now adding in additional gratuity charges for other areas???? Of course the same still holds for point of sale purchases.

The additional monies added to the gratuity fees bothers me. Tipping is a choice and while I can live with auto billing tips for dining and cabin service... and I normally pay additional (cash), especially to cabin attendants, I feel the other admin/serv added on amount is another way of the cruise lines squeezing us. And I sometimes wonder if the dining/cabin staff get the full allocation as stated??

They say everything is for convenience..... Bull. Another way to sneak in additional amounts under gratuity money for services we have always expected and paid for in previous years!! I mean they did have guest services 30 years ago on ships!!

Things used to be so simple and proper....Now a days blurry and hidden!!

Being Canadian, we tip everybody all the time...it's a cultural thing. However, we don't care what everyone else does....just not our business. We take care of "our" staff as generously as we deem appropriate in cash at the end of the cruise in addition to the auto grats. Makes us happy, makes them happy. Win, win for all.

Exactly how we operate as well. If the staff we interact with daily (room steward, MDR server, bartenders at select places like Crooners) does a spot on job, we always give them a little extra cash in hand as discretely as we can.

Its amazing how the gratuity payment has evolved.... Early days you handed an envelope to cabin attendents, dining room servers, maitre'D. I prefered this as it was more personable and I found I actually received better service in those days. Of course, we then had the passengers who conveniently would not tip which did impact the staff who worked very hard all week.... Very sad. Other gratuitys for bar drinks, etc were added into the Point of sale purchase. That was it.

 

Fast forward some years and now all the ships are automatically adding and you have to go out of your way to adjust (if you need/want to). On top of this they are now adding in additional gratuity charges for other areas???? Of course the same still holds for point of sale purchases.

 

The additional monies added to the gratuity fees bothers me. Tipping is a choice and while I can live with auto billing tips for dining and cabin service... and I normally pay additional (cash), especially to cabin attendants, I feel the other admin/serv added on amount is another way of the cruise lines squeezing us. And I sometimes wonder if the dining/cabin staff get the full allocation as stated??

 

They say everything is for convenience..... Bull. Another way to sneak in additional amounts under gratuity money for services we have always expected and paid for in previous years!! I mean they did have guest services 30 years ago on ships!!

 

Things used to be so simple and proper....Now a days blurry and hidden!!

I suspect, however, that the actual cost of cruising "way back when" was probably more expensive than it is now. That is just supposition on my part, however, as I haven't been cruising for nearly as long as many have. I had always been of the mind that cruising was for the very wealthy and never expected to be able to indulge in such things. Of course there are some lines that are well above what I could or would pay still today but that's okay too. I'm just glad to be able to experience the things that I can and do enjoy!

Tom

I suspect, however, that the actual cost of cruising "way back when" was probably more expensive than it is now. That is just supposition on my part, however, as I haven't been cruising for nearly as long as many have. I had always been of the mind that cruising was for the very wealthy and never expected to be able to indulge in such things. Of course there are some lines that are well above what I could or would pay still today but that's okay too. I'm just glad to be able to experience the things that I can and do enjoy!

 

Tom

"Way Back When" ... there was the envelope system... passengers were assigned to a particular dining room table at a particular time. EVERY meal in a dining room was taken at that same table with the same service staff for the entire cruise-- including the midnight buffet.

Envelopes and gratuities were easy to manage: wait staff and cabin steward.

With Anytime Dining and a separate venue for the buffet, how would those waitstaff receive a gratuity if it weren't for the auto-gratuity?

Does anyone know for sure if it is true that stewards, severs etc that are handed cash get to keep it on Princess or have to put it into a pool for everyone?

Also being a small business owner in the hospitality industry, I know how much harder the back of house staff work compared to the front of house and they do not receive tips unless the customer specifically states it. That is why I like the auto-pay.

Does anyone know for sure if it is true that stewards, severs etc that are handed cash get to keep it on Princess or have to put it into a pool for everyone?

 

Also being a small business owner in the hospitality industry, I know how much harder the back of house staff work compared to the front of house and they do not receive tips unless the customer specifically states it. That is why I like the auto-pay.

With respect to your question, the "rumor" that has been told to me is that MDR waitstaff who receive envelopes must write the guest name and cabin number on the envelope. [From my first cruise on Princess I was asked this.] Then the envelope is turned in and held for determination as to who gets it:

-If the guest has removed the auto-gratuities, then the envelope is added to the auto-gratuity.

-If the guest left the auto-gratuity in tact, then this "additional gratuity" is given back to the waitstaff that the guest handed it to.

In a way that's fair. Consider the couple on a five day cruise that wipes out their $135 auto-gratuity because they plan to tip individually. They leave $20 to each of the two dinner waitstaff members and $25 to their cabin steward. The feel good about themselves and how generous they were. Meanwhile the personnel that cleaned up with them when they ate breakfast at the buffet and the MDR staff that served them lunch really don't feel so good, since they worked but were cut out.

With respect to your question, the "rumor" that has been told to me is that MDR waitstaff who receive envelopes must write the guest name and cabin number on the envelope. [From my first cruise on Princess I was asked this.] Then the envelope is turned in and held for determination as to who gets it.

We leave the auto tips on for all the stated "equality" reasons but I can't imagine the cabin steward turned in the $100 bill I slipped him in the hallway outside my door with a handshake and a "...thank you, great job...".

We leave the auto tips on for all the stated "equality" reasons but I can't imagine the cabin steward turned in the $100 bill I slipped him in the hallway outside my door with a handshake and a "...thank you, great job...".

I specifically stated MDR staff. Cabin stewards, "I heard," keep theirs.

The experience I have to support this relates to taking two cruises in a month on the same ship and having the same cabin steward. He was impeccable with his service, professional and with great attention to detail. Everything was always lined up to perfection.

I felt I was generous with my envelope. When I booked the second cruise and was in a room that was part of his compliment, he certainly remembered me. He was appreciative. So as to not get him in trouble, let's just say that my room received amenities not normally found in a balcony room.

So based on that experience, I believe room stewards keep what they receive.

I specifically stated MDR staff. Cabin stewards, "I heard," keep theirs.

True but why would they get to keep it and the MDR wait staff not? Why not the specialty restaurants? Gave the Crown Grill waiter $40 for the four of us, into his pocket it went.

I also gave a $50 to each of our MDR waiters the same way, folded $50, discrete handshake and a thank you. It went into their pockets. I know what you "heard" is they must turn it in. What I'm saying is I don't think there is a chance either of those 2 $50 bills went into an envelope for later determination by someone else who should benefit.

True but why would they get to keep it and the MDR wait staff not? Why not the specialty restaurants? Gave the Crown Grill waiter $40 for the four of us, into his pocket it went.

 

I also gave a $50 to each of our MDR waiters the same way, folded $50, discrete handshake and a thank you. It went into their pockets. I know what you "heard" is they must turn it in. What I'm saying is I don't think there is a chance either of those 2 $50 bills went into an envelope for later determination by someone else who should benefit.

While we have "Anytime Dining," and I covered --pretty thoroughly I thought-- the distinction and why MDR staff turn it in.....

We still don't have "Any Room Cabin" you get to sleep in a different room every night with a different steward to clean it. When we do, I'm sure those room stewards will turn theirs in too.

I won't even hypothesize as to why specialty restaurants keep theirs.

All I know and believe is that what I stated applies to MDR Traditional Dining Staff, supported by these statements:

-They always write the cabin number and guest name on envelope.

-They NEVER EVER seem APPRECIATIVE. At most there's a "thank you" that kind of moans out of the staff member. And it's always left me with the opinion that they don't believe that they get to keep it.

-They NEVER EVER seem APPRECIATIVE. At most there's a "thank you" that kind of moans out of the staff member. And it's always left me with the opinion that they don't believe that they get to keep it.

Odd, they've always been most appreciative when we've given them an envelope.

Tom

"Way Back When" ... there was the envelope system... passengers were assigned to a particular dining room table at a particular time. EVERY meal in a dining room was taken at that same table with the same service staff for the entire cruise-- including the midnight buffet.

 

Envelopes and gratuities were easy to manage: wait staff and cabin steward.

 

With Anytime Dining and a separate venue for the buffet, how would those waitstaff receive a gratuity if it weren't for the auto-gratuity?

Point well taken!!! I need to take off my blinders!! We've always done traditional (early/late) dining with same wait staff....so completely overlooked this dilema

Sorry, but Princess and HAL both skim about 10% from the tip pool before it is paid to the crew. They use this money to pay credit card fees and to establish a "slush fund" to cover tip pool shortages on other ships when too many Brits and Aussies remove the auto-tips.

Just to be clear As I under stand it what you are saying is that the 10% does not go to corporate as revenue, but covers expenses related to tips (i.e. the credit card fees on the tip amounts) and is redistributed to crew members on other ships where the tip pool is below a minimum level.

The term skim implies that they take the money as corporate revenue.

So, Princess uses gratuity money to pay some of their operational costs; and, does not 'chip in' to meet guaranteed minimums when tips fall short - it's just 'redistributed' gratuity money?

 

That's interesting.

He did not say that they used gratuity money for operational costs. If the gratuities are paid with a credit card, then reducing the amount, by the credit card fee on the gratuity amount, actually makes sense. The company not funding the cc fee on tips, is quite a bit different from using gratuities for operational costs.