I lived in Austria and Switzerland. I never really experienced this. For me this is as rare as faulty credit cards which have the same annoyance levels.

In Austria people often just hand over more and say 'bast scho' (tip). Or otherwise pay a little bigger and take the change. In switzerland it's only the latter and less tipping but again nobody even looks at their own small coins.

Nearly everyone I know just has a glass at home where they throw the small coins in but never would really use them.