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What is Starbucks' new tipping system and how does it work?

STARBUCKS have rolled out a new tipping system – and customers are freaking out.

The coffee chain announced a new initiative in May in order for customers to “recognise their favorite baristas."

What is Starbucks' new tipping system? 

Starbucks now allows customers to tip by credit card in many stores, and workers.

The move has been labelled as “gamechanging” and follows calls for change from staff.  

A company spokesman told Newsweek: "Starbucks is rolling out the ability for customers to tip for credit card transactions at the register in the café and drive-thru.

“This capability began at select stores in the U.S. in September 2022 and will continue to roll out to all stores where this can apply through the end of the year.

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“It's our goal to allow our customers to recognize baristas no matter what payment method they use, and we're excited to bring this new enhancement to stores.”

How does it work?

When customers pay with a credit card, the machine now asks them if they would like to add a tip before they pay, Business Insider reports.

Previously, Starbucks customers could tip in the app for mobile orders, or with cash at checkout.

But now every customer is asked to select a tip amount if they decide to pay with a credit card.

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It effectively allows customers to give the barista either $1, $2, a custom tip, or the option to decline altogether.

"Starbucks customers have multiple options for showing their appreciation for our store partners," the company said of the move.

Why have Starbucks' changed their tipping system?

According to Newsweek, Starbucks workers began petitioning for a change to credit card and debit card transitions in store last fall.

However, the decision to change the tipping system has left both staff and customers divided.

Explaining her opinion on TikTok one Starbucks employee recreated the “humiliating moment” when customers are asked to pay using their credit cards, claiming it causes her “social anxiety.”

While another worker in the comments admitted she would prefer to avoid the interaction altogether due to embarrassment of asking others for extra cash.

 “I’ve literally been pressing ‘no tip’ before giving them the card reader because I really don’t want to ask them to tip,” they claimed.

However, others workers told Insider that some customers are "excited" to be able to tip baristas when they don't carry cash.  

"I like the new tipping system because I've had a lot of customers ask to be able to tip on their credit card and were disappointed when I told them it wasn't available," an East Coast employee told the outlet.

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Elsewhere, a Reddit thread about the tipping policy, which has garnered more than 100 comments, saw an alleged Starbucks supervisor claim it “works so well for in-store purchases”.

In the drive-thru, on the other hand, “it’s so awkward I never know what to say.”

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