If your restaurant’s overhead increases, why in hell doesn’t management just increase the prices on their menus? What in hell is a “surcharge” being added for? All other labor costs were included in the cost of the meal before the minimum wage was increased. Trying to artificially keep your menu prices down, but adding a charge after the meal has been consumed to the customers bills to cover additional costs NOT listed in the pricing is fraud of the highest order. Will they start charging a surcharge for the electricity and gas used in the restaurant for lighting and heating? How about for the property taxes?
>>>How about for the property taxes?<<<
Funny you mention Property Taxes. In CA we have Proposition 13, which has kept Property Taxes affordable for both Business and Residential Properties.
Proposition 13 was passed as a Ballot Proposition, not by the Legislature. It has been the target of Liberal Politicians since the moment it passed.
Now that we have a Democrat Super Majority in both Houses in Sacramento, they will be going after the Proposition 13 Business Property Tax Break.
After they pull that off, the Residential Property Tax break will be on the table. They are salivating to get their hands on all that Money.
Some/most restaurants undoubtedly will just hide the higher minimum wage costs in higher menu prices. Those that opt to list it as a “surcharge” are the Conservatives. They want people to KNOW that the increase in prices is not their idea and this is their way of protesting it.
The surcharge is going directly to pay the higher minimum wage, so deducting it from the tip amount is appropriate.
To make clear the point that the price increase is due to government meddling in the economy. The business owner can pass the government mandated price increase on to the customer, reduce the services he provides, or go bankrupt. Socialism ALWAYS works that way.