[dagw]

However, based on my own personal and rather unscientific experience, going out to dinner is less common in much of Europe and restaurants employ fewer front of house staff. So while the restaurants that exist might do fine (or as 'fine' as any restaurant does), there are quite probably less of them and they certainly employ less people.

Which I guess is the real problem. Removing tipping will increase unemployment.

[me2i81]

That hasn't been my experience at all--I see tons of restaurants filled with plenty of people in most European cities, and they seem to have adequate numbers of efficient waitstaff.