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]
If you raise the price of everything by 18% the prices on the menu will be 18% higher, possibly discouraging people from eating there. If you add it at the end people will still choose to eat there at least once. It is practically the same as raising prices, just a lot more dishonest.
Also illegal. It’s called bait and switch. Advertise one price, provide the service, then change the price. What if you went to get $50 in gas, and after you put the nozzle back the price suddenly changed to $59. Unless there’s a very visible sign saying it would happen before you started pumping, it’s illegal.
I’m sure that they have a sign by the front stating that they do this. Probably on the menu as well. I doubt that most people are doing the math themselves and are more likely to see a $10 menu item and think it’s $10 + tax and fees. Basically the extra fees are an afterthought.