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Originally Posted by punky
Not solely, the economy and tax on alcohol plays a big part in it. Anyway, all service staff have to earn minimum wage, so in the extremely unlikely event their tips don't cover the difference, then the employer will have to cover the difference. I know service industry staff out there, and they do very well out there tips. They can tend 12 tables at a time. A low average would be $5 per table, tips, so thats $60 per hour at peak times. Tips are taxable though. In quieter times, they'll still earn minimum wage.
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The current minimum wage in the USA is $5.15 - at today's exchange rate that's roughly £2.92 per hour. Even before minimum wage legislation was introduced in the UK there were very few people earning anything like that low a rate.
http://www.dol.gov/esa/minwage/q-a.htm
And for bartenders (and anyone else who earns tips) the minimum wage is a criminal $2.13 (£1.21) . I would say it's not so much the case that you can afford to tip the bartender; you are morally obliged to do so! I certainly didn't realise it was this bad in the US until I read up on it just now and it will certainly change the way I treat waiting staff next time I am over there.