Where does the dough go?

Cruise Travel, Sept-Oct, 2005 by Charles Seyffer

Having read most of the letters and articles on the tough subject of automatic tipping now instituted by some cruise lines, I believe the biggest point of concern with most cruisers, which has not been stated, is how much of the funds collected actually reach the parties to which the cruisers intended.

On some Caribbean islands, many restaurants have instituted an automatic tip of at least 20 percent on dining bills. I inquired into the disposition of the percentage a few years ago and found that the restaurants did indeed pass on the funds, minus a five percent handling fee. At the same time, I have noted that these restaurants typically do not offer the best service. Why should they, when the employee inducement for superior service is automatic? I typically avoid restaurants with this auto-tip policy, as I prefer to remunerate the old-fashioned way, 15 percent for normal and 20 percent or more for superior service.

I would be much more comfortable with the automatic procedures being instituted by the cruise lines if I knew the actual disposition of the total amount of the funds. Are the funds passed on to the intended parties with-out a handling deduction to the cruise lines' bank account?

Additionally, cruise lines that do apply the auto-tip method need to eliminate the imposing additional line for an additional tip on each beverage receipt. If the auto-tipping is legit, than all that should be required is a signature. Charles Seyffer, Troy, NY

We've also heard these concerns voiced, so we asked "The Most Popular Cruise Line In The World" how its auto-posted gratuities are handled. "The entire amount is distributed to the appropriate staff members and a transaction fee is not imposed," replied a Carnival Cruise Lines spokesperson.