We went to the front desk to have our tips removed for a couple of reasons. We had terrible dining room waiters and also did not eat there 3 nights out of 10. We opted for the Pinnacle one night had had dinner on our verandah the other two nights. (The last two nights becasue we just got sick of how they treated us) Those three ights we tipped the waiters individually. On the other hand we had an incredible room steward. So we removed all of the $200 and ddi our own tipping as we saw fit. The dining room waiters kept rolling their eyes at us every time we asked for a different condiment or other simple things....nothing difficult. They never smiled and everything arrived so helter skelter---one person would receive their appetizer while another person had already had the appetizer and salad and was served their entree. We never had one hot meal. Our table of 4 was always the last table out of there---10:00 -10:15.
The process at the front desk is easy---but you do have to fill out a form saying why you are removing the tips. HAL says only 5% do that, but I would beg to differ based on what I saw down at the desk two days in a row! LOTS of people wanted to do their own tipping.
As far as the help being notified about tips being removed........didn't appear they were as when we handed the "bad" waiters their tips in envelopes, they asked if we had removed the auto-tips. We told them yes we had. They replied that they make about 30% less than normal when people do that. They were disgusted as they were going to have to put the money into the "pool." That suited us just fine as they were only worth 25 % of what we normallly tip. Tipping should be based on good service and these two guys were just rude the entire 7 nights and everyone in that section agreed with us.