Quote:
First question to the GC...."Where's the waterproofing?"
From experience, his answer will probably be "we seal the grout".
Nope,nope,nope. Time to find a qualified tilestter.
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I met with my GC this morning at my house and discussed the situation with the bathroom tile. He agreed that the quality of the workmanship was subpar and needed to be redone. He did say exactly what you said he would, they caulk and seal the great to keep the water out. I pointed out, thanks to everyone's great advice, that the TCNA specifies that all tile in wet areas should be installed with a waterproof membrane between the tile and the cement backer.
Come to find out from my GC the guy who did the installation was actually a carpenter that happened to be "good" at laying tile but this was his first time working with subway tile...

I asked him why the floors look awful too and he said that the guy just messed up big time and he had no excuse for it.
He apologized for the mistake in the workmanship and his judgment and is going to hire a professional tiler to lay all of the tile in the house. I made it abundantly clear that I expect all work to be done professionally and up to code and he agreed.
I will continue to stay on top of the job and making sure that no corners are being cut and will also update here with the progress. Thank you all for your help! Really appreciate it.