Impact of Tipping on Workers’ Motivation: Comparison between the Hospitality and Gaming Industries in Slovenia

Abstract

The main goal of the article is to explore the impact of various types
of tipping on the motivation of workers in the Slovenian hospitality
and gaming industry, and to develop a model – on the basis of the
findings – for distributing tips among workers in order to increase
their motivation.
The main finding of the reseach is that employees in the Slovenian
companies with a regulated system of tip distribution tend to be better
motivated and treat their guests better than their colleagues in unregulated
environments. On the other hand, employees in the hospitality
industry are less motivated by tips than their colleagues in the gaming
industry, despite receiving individual tips directly.
The underlying reason for this difference is that companies in the hospitality
industry generally do not apply distribution methods for tips,
and employees are directly entitled to each tip. Tips are received in
small (daily) amounts. Meanwhile, employees in the gaming industry
receive their tips together with their monthly salaries. Therefore, we
state that the model and the process of tips distribution greatly influence
the motivation of the employees.