I am sure they tip when they feel it is justified. I do, too.
But to make the tip an integral part of the service price thereby subsidizing the salary is a misguided system. It has nothing to do with cultural insensitivity. Just because you travel or live in a certain country doesn't mean you must adopt all the customs no matter how stupid they are and how much they go against your own believes.
As a matter of fact, many Americans tip in Europe as if they were in America, thereby spoiling European service personnel. It's just as insensitive culturally.
Till