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Went to a restaurant in LA today and when I got the check I noticed that it was a bit higher than it should be. Then I noticed this 18% service charge. So... We, as customers, need to help pay for their servers instead of the owners paying their servers a living wage. And on top of that they have suggested tip. I called bs on this. I will bet you that the servers do not see a dime of this 18% service charge. [deleted a word so it wasn't a grammatical horror to read]
I mean, that's basically the way it works. Here it's just 'transparent'.
Want to pay workers more - food gets more expensive. It's the same thing with America not adding sales tax to the sticker price. When I get something for 2 bucks in Europe, it's 2 bucks including the vat. In America, it's 2 bucks before vat.
But yeah, it's probably not properly implemented and just a scheme to get more money out of people.
Except it's contingent on people making purchases. If there is a slow day, you work the same amount of hours but earn less because your pay isn't tied to how many hours you worked, but how many sales were made. By doing it this way, it takes the risk of running business off the owners shoulders and puts it on the workers instead.
What i meant is that, in a theoretical mathematically sound world, to support higher wages, you need higher prices. The service charge shouldn't be put as a 'bonus salary' - basically the 'service charge' in most countries is included in the price of the food, and is paid out as the hourly wage to staff.
Wait a minute, are you suggesting restaurants are just normal businesses that can be run like any other? Because that's heresy. Restaurants are Special, because Reasons.
This is the opposite of transparent. When I order food, I’m agreeing the pay the listed price for the item I ordered. Adding 18% on top of that when it comes time to pay is hiding that fee.
If they want to charge more, they should raise their prices
Well yeah, that was my point.
Americans for some reason love this 'low low price of x$ (+tax +tip +service charge +fuck you charge) thing. Here in Switzerland, it's all in the price. Menu says 40 bucks, you pay 40 bucks. Tips are very voluntary and usually just a "round up" -> total is 57 - let's make it 60.
My wife works in a restaurant and gets around 3.7k a month - the tips she gets add up to around 300-700, depending on the month. In the store she works, tips get handled as a pool where everyone gets their monthly share depending on hours worked (serving staff and kitchen) - so total tips x person hours / total hours by everyone.
It's still a low wage (I make around than double her wage, but then again I'm an electrical engineer), but it is very livable - I lived on a lower wage alone comfortably when I was studying and only working 50%