Restaurants double-dip surcharges over New Year

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Mon, 04 Jan 2010 5:09p.m.

By Juliet Speedy

Many big spenders wanting a second long lunch to round off the New Year holiday weekend were hit with a second round of surcharges today.

Some restaurants and cafes charged extra both on Saturday and today, to mark the January 2 public holiday.

Unfortunately for customers, they were well within their rights.

Sticky Fingers restaurant is in the heart of a Christchurch hospitality hotspot. They open every day of the year but Christmas, but they've taken a stand against charging extra on public holidays.

"We're of the belief that because we've had a recession this year, we don't want to pass that cost onto the consumer," says Nathan Thompson, "hence the reason we're a surcharge-free zone."

And this week, consumers are being hit even harder. Because the public holiday on January 2 fell on a Saturday, it is also being officially marked today. So restaurants and bars have to pay their staff time-and-a-half and a day in lieu on both days, and many are adding that straight onto the lunch bill.

"It's really fair to have a surcharge," says Bruce Robertson of the Hospitality Association. "Businesses face high costs, then as long as the public are well aware of it then they've got a choice whether they go out or not."

For those that don't pass it on, Mr Thompson says the costs aren't cheap, especially with an extra day thrown in.

"It's a huge cost for us to absorb, but obviously with the Government legislation, puts hospitality at a risk for pay rates during this public holiday period," says Mr Thompson.

Those on their way out to lunch today thought they were getting the rough end of the deal.

Since changes to the Holiday Act now means restaurants face such a large expense on public holidays, more and more are choosing to close.
"The reason is they just simply can't make any money," says Mr Robertson. "In fact, some are losing more money staying open than staying shut."

And those that do choose to stay open after battling through such a tough economic climate don't have a choice but to charge.

"We do understand some businesses do have to charge for protective reasons, and we feel sorry for them," says Mr Thompson."

So if you don't want to pay the extra, it's either drive the streets looking for a 'no surcharge' sign., or stay home and cook yourself.

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Comments

11 Jan 2010 09:52a.m.

jan.. wrote:

I love restaurant food from $300 upwards specially xmas,new year,universary or birthday and that depends on the quality to consider..

05 Jan 2010 05:51p.m.

Paul wrote:

The 'Rip Off' places that charge an additional premium for services over and above their usual expensive charges, deserve to lose customers to the many Restaurants offering comparative quality without the 'holiday surcharge'. Hopefully the 'Rip off' Restaurants may see the folly of their ways but unfortunately they seem blinded by their greed and self justifications. Meantime I will continue to patronise the more reasonable & honest restaurants who don't include the 'Rip off' surcharge in their account. Paul.

05 Jan 2010 04:33p.m.

Dan wrote:

Cafes charge outrageous prices every other day of the year already, which is why I never bother with them. 15% extra is nothing when you don't shop there in the first place!

05 Jan 2010 04:19p.m.

Michelle wrote:

Would customers prefer the extra price to cover these outrageous demands the Govt has set upon us i.e. time and half and day in lieu be averaged out and added to the day to day cost of food/drink over the year? I doubt it! We have had so many complaints about the surcharge this past weekend. What is the answer? Judging by my extremly high wage bill this week probably the answer is closing - then everyone misses out! The surcharge actually doesn't average out to a whole lot compared to what the proprietor has to pay to their staff and not to mention overheads. Customers you have a choice - take a picnic, go to the beach, come the following day - you have a choice - we don't!

05 Jan 2010 11:42a.m.

Oliver wrote:

Completely not fair. The 'official' holiday was Monday. Saturday was just another day....

04 Jan 2010 09:01p.m.

robbie wrote:

yet another joke in this pathetic country.This country does nothing but skim every last dollar they can out of there tourists,residents and citizens.The wages in this country aren't enough to buy a house even with 20%. these businesses want to wine about having to pay extra for people giving up there most important days of the year.what a joke, close your doors for good you tight a*&%es.

04 Jan 2010 08:51p.m.

Kevin Johnston wrote:

I have been on both sides of the equation here, worked for wages and received extra pay and days in lieu, I am now paying staff to work on the holidays and paying them the wages and extra time off. I dont mind the staff getting the extra money and a day off but the reality is if I lose money over these holidays I either have to close or put prices up, I ask the respondents (above) what are the choices ?

04 Jan 2010 08:48p.m.

Andy wrote:

Ah,good on them. So many businesses do it. Look at florists on Valentine's Day, supermarket strawberries on Xmas Eve etc. As long as they are told that there will be a surcharge prior to dining they can always eat in their hotel rooms, homes or buy a picnic the day before and not have to pay. Paying the surcharge is an option - it is their option to dine out or not!!

04 Jan 2010 08:11p.m.

linc pottinger wrote:

businesses whinged and moaned that they wernt allowed to open on theses days,then,when they have to pay someone to give up their day off to come in and work,they penalise the public with these rediculous surcharges,surly havng to pay penal rates to people giving up time off is just the cost of doing business,why should cafes make customers pay for it?

04 Jan 2010 07:16p.m.

don rumbold wrote:


It is discusting that restaurants put on an xtra charge because it is a public holiday.do Do these people not realise that they are in the hospitality game and NZ is supposed to be a tourist destination , really it is out of touch with what tourist want and is just a greedy money making racket . I know because I used to work all hours in a hotel and took days of when I could because the customer was more important than the buck. Rember when tourist come back they will remember the ones that did not charge .