Shake Shack has denied allegations that it charged customers a higher price for declining to leave a tip at a self-checkout kiosk, saying the apparent “no tip” fee was caused by a technology glitch. The controversy began after TikTok creator B.D. Powell posted a video showing a kiosk at the Shake Shack location in Salt Lake City International Airport charging $5.99 for each of three shakes when he selected a tip of zero, but increasing the price to $6.49 per shake after he declined to tip. The video received more than 4.2 million views and sparked widespread criticism over America’s growing “guilt-tipping” culture.
Shake Shack said it is not company policy, or the policy of its licensees, to raise menu prices when customers do not leave a tip. The company explained that the airport location is operated by licensee HMSHost, which investigated the incident and determined that the price increase resulted from an error in the kiosk technology. Shake Shack said the issue has since been resolved and that it will continue working with its licensed partners to prevent similar problems. The incident comes amid broader consumer frustration over additional restaurant fees, including a Tampa restaurant that recently faced criticism for adding a 3% “venue fee” to customers’ bills.
