Restaurateurs in the capital on Monday deferred their protest against Central government's advisory on service charge, for a fortnight. They have sought a one-on-one with government agencies involved to put forth their charter of demands.

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They had earlier decided to close down business for a day on Labour Day and sit on a protest at Jantar Mantar. Over 100 leading players had decided to participate in the agitation which was to focus on government's recommendation that it is not mandatory for customers to pay service charge. Talking to DNA, one of the restaurateurs, Umang Tewari said, "We are planning to meet Delhi Chief Minister Arvind Kejriwal and Consumer Affairs and Food Distribution Minister Ram Vilas Paswan regarding our demands sometime this week or next. Hence, we have taken a buffer of 15 days for the government to take some decision, failing which we will go ahead with the protest."

The government in December had announced that it was solely the discretion of customers whether or not pay service charge, and restaurants cannot make it as a compulsory component in their bills. Almost all the eateries used to charge minimum of 10 per cent service charge before the December advisory. While they continue to levy it even now, with some of them reducing the amount and grudgingly leaving it to their customers' discernment, owners claim that it has caused "massive" dip in morale of their employees. "Our only contention is that why do away with the practice. We are not pocketing it in any way. It is goes to the staff that is at your service, and since this suggestion was rolled out, there has been a big down surge in the incentives our workers earned," said a south Delhi based restaurateur.

...& ANALYSIS

  • With a minimum of 10 per cent levied as service charge on food bills, customers are sometimes forced to pay through their nose and much against their wishes  
  • It is often argued that this amount goes towards the welfare of employees, disbursed at month-end, the system itself is completely arbitrary  
  • Owners also keep around 15-20 per cent share of service charge collected during the month towards breakage and sundry expenses of the outlet.