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NJRHA Tipped Employee Survey

New Jersey Tipped Employees Have Spoken

New Jersey tipped employees overwhelmingly say the current tipping system works for them — and they want to keep it.

In June and July 2025, nearly 400 servers, bartenders and other tipped employees working at restaurants across New Jersey participated in an independent survey prepared by CorCom, Inc.

VIEW FULL SURVEY

Key Findings

What New Jersey Tipped Employees Told Us

 
79%

Agree the current system works well for them and does not need to be changed

83%

Earn a combined base wage and tips of $20 per hour or more

82%

Believe they would earn less if the tip credit were eliminated

88%

Prefer the current system with a lower base wage plus tips and greater earning potential

Why Employees Value It

Respondents Identified Several Benefits of the Current Tipping System

78%

Ability to maximize tips through excellent customer service

72%

Ability to earn more than minimum wage

67%

Ability to make more money than a job in another sector

56%

Schedule flexibility

Earnings & Impact

What Employees Believe Would Happen if the Tip Credit Were Eliminated

The survey asked employees how they believe eliminating the tip credit would affect their earnings and customer tipping behavior.

Expected Earnings Impact

82%

Believe they would earn less if the tip credit were eliminated.

By comparison, 10% said they believe they would earn more, while 7% said they would earn about the same.

Customer Tipping

79%

Believe customers are unlikely to continue tipping on top of a mandatory service charge.

That includes 62% who said customers would be very unlikely to continue tipping.

88%
 

Prefer the current compensation system

Compensation Preference

Employees Overwhelmingly Prefer the Current System

When given a choice between two compensation models, 88% selected the current system with a lower base wage plus tips that provides the ability to earn more than minimum wage.

About the Survey

Survey Methodology

An online survey of nearly 400 tipped employees currently working at full-service restaurants in New Jersey was conducted in June and July 2025.

The study was prepared by CorCom, Inc. and reports a 5% margin of error. CorCom, Inc. is a research and consulting firm headquartered in Pittsburgh, PA. It was founded by Dr. Lloyd Corder, who holds faculty appointments at Carnegie Mellon University and the University of Pittsburgh.


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