The Delhi High Court on Wednesday stayed the recent guidelines prohibiting hotels and restaurants from levying service charge automatically on food bills
High food inflation forces restaurants to hike prices; ban on service charge will likely lead to further increases in the prices of dishes on the menu
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Industry experts say that while restaurants will increase the food prices there is no certainty on it going to staff as it will be a part of the owner's revenue
Restaurants say they already explicitly mention the charge in notices at the gate and on the menus, and if someone chooses to use their services, they are bound to pay it
The decision has drawn mixed response from hoteliers, restaurant owners and associations, across India, some of whom said the move will ''not impact'' their businesses
If a restaurant is forcing customers to pay extra money in the name of service charges, customers can lodge a complaint with the CCPA
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The hotels have to clearly inform the consumer that paying the service charge is at the consumer's discretion, the CCPA said
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Calls meeting to discuss complaints against edutech firms
Consumer Affairs Secretary Rohit Kumar Singh said: "We are aware of this. I have called a meeting of edutech companies next week or so".
Public transport will resume in most districts, except Fengtai and some parts of Changping, allowing workers to return to the office and restaurants to start dine-in services, local authorities said
A national food industry body and several restaurant owners on Friday said the government's move to come out with a legal framework to stop service charges will hurt the staff
The government will soon come out with a legal framework to stop restaurants levying service charge from customers as the practice is "unfair", Consumer Affairs Secretary Rohit Kumar Singh said on Thursday. After a meeting with representatives of associations of restaurants as well as consumers, Singh said that although the associations claim the practice is legal, the Department of Consumer Affairs is of the view that it adversely affects the rights of the consumers and it is an "unfair trade practice". "We will soon work on a legal framework because there were guidelines of 2017 which they have not enforced. The guidelines are not generally legally enforceable," he told PTI. The meeting was attended by representatives of National Restaurant Association of India (NRAI), Federation of Hotel & Restaurant Associations of India (FHRAI) and consumer organisations, including Mumbai Grahak Panchayat and Pushpa Girimaji. A legal framework will be legally binding on them to stop this ...
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Ahead of its June 2 meeting with govt, the top hotel industry body said that the levy of service charge is a matter of individual policy to decide if it is to be charged or not.