LATEST NEWS – Rahul Singh, CEO and founder of The Beer Café, said service charge is a common practice globally. According to him, this is an emolument for all staff members, who work through odd hours, holidays and weekends to provide a perfect dine-in experience for the customer.
“If the guest is not satisfied with a particular item, we anyway replace it or not charge for it,” Singh noted.
Joy Singh, co-partner of Raasta in Delhi and Mumbai, said service charge is for the management that looks after a guest from the entry door to the table as a token of appreciation and makes a part of their salary.
In a statement issued on Monday, the Department of Consumer Affairs said that it had received a number of complaints from consumers that hotels and restaurants were levying service charge between five and 20 per cent in lieu of tips, and that a consumer is forced to pay it. READ MORE