Each week we will break, deny and demystify your rights as a buyer in Australia. This week we are looking at the practice of restaurants and cafes that add surcharges to their weekend shopping menus.
We all know that life is more expensive than ever and how important it is to stretch every dollar you earn.
That’s why every week we answer a question about what shoppers have and are not entitled to when dealing with retailers, restaurants and manufacturers.
A Sydney cafe points out its 10% surcharge on weekends and holidays, a practice that is perfectly legal. (Supplied)
I’ve been reading your Money Matters column and I’ve been thinking about my local coffee shop.
I was there a weekend ago and was surprised to find on the menu that there was a 10% surcharge on ALL weekend and holiday prices.
It wasn’t a holiday, it was just a normal weekend! Surely this is not legal?
It’s legal for a restaurant to add a surcharge, but most won’t be smaller than the smaller text on the menu. (Getty Images / iStockphoto)
The short answer is that it is legal, as long as the customer knows it.
Most of us know that for most companies it costs more money to be open on weekends and holidays due to the salary increase that has to be paid to staff.
Businesses can legally manage these costs in a number of ways: they can bring the costs to beard and wait for the patronage increase to cover them, they can charge a surcharge at their normal prices, or they can simply increase their daily margins to cover them. . that.
Basically, a company can charge whatever it wants, as long as the consumer knows the initial costs before entering into a “transaction” (even on something as small as buying a coffee).
Weekend and holiday penalty rates mean it’s more expensive for small businesses to open. (Bloomberg)
According to the Australian Consumer Surveillance Authority, the Australian Competition and Consumer Affairs Commission, there is a specific rule: Businesses cannot stealthily hide their surcharges on the menu.
“Restaurants, cafes and bistros that charge a surcharge on certain days do not need to provide you with a separate menu or price list or have a separate price column with the surcharge included,” says the ACCC.
“However, the menu must include the words” a surcharge of “. [percentage] applies to [the specified day or days]”and these words must be displayed at least as prominent as the most prominent menu price.”
There is no limit to the percentage of the surcharge.
Do you have a consumer question you want answered? You can contact journalist Stuart Marsh at smarsh@nine.com.au.
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