I was at my QS yesterday, trying to replace some fabric I ran out of but need for my BoM challenge (noone's fault here, I've had the piece for at least 6 years)
I ended up buying a bunch more fabric than I had intended, but to get back on topic, I watched the lady closely as she was cutting. As I had thought, she was most definitely cutting long yards. I told her about this thread & some of the comments, and we had a nice little discussion. I mentioned that the store I used to work for did the same thing, and she replied that it was well worth the loss for happy return customers.
I think every person who has cut for me there has cut at least 1/2" over. On my 2 yd cut I have almost 2-1/8, and on my 3 yd EOB I'm sure it's closer to 3-1/4 yd.