If any business tells me that a tip, gratuity, or service charge is included, I don't add anything to it. It's not my problem to agonize over whether they really mean it. I don't think it's reasonable for staff to expect anything more. That's in effect saying, "You've already given me a tip but now I want another one too." If staff don't like this, they should ask their management not to tell the customers that the tip is included.

But the real issue in all this is why there is tipping at all. It seems an irrational custom with few benefits and many problems. In some countries like Japan (and I think much of the Pacific,) tips are simply not the custom, and it's fine. There are many better ways for customers to reward good service or reprimand bad than the confused and uncomfortable passing out of tips.