I’d like to think that I’m generally pretty understanding of how challenging it is for businesses to make money, and also that I’ve come to terms with tipping in the United States being a necessary evil. However, here’s something that crosses the line, in my opinion.
Hotel restaurant adds 3.5% surcharge to offset costs
Live and Let’s Fly flags how Miru Restaurant at the St. Regis Chicago is charging a controversial fee on all food and beverage purchases. Miru is the hotel’s Japanese restaurant, though it’s also where breakfast is served, so it’s very much part of the hotel. As it’s explained on the checks that diners are presented (and also on the restaurant’s website):
As a way to offset rising costs we have added a 3.5% surcharge to all checks. You may request to have this taken off your check should you choose.
This fee is listed underneath the subtotal, and before the taxes. The fee doesn’t go to staff.
I find this surcharge to be super shady
Like I said, the restaurant business is tough under the best of circumstances, and there’s no denying that so many individuals and businesses are feeling the squeeze from inflation. That sucks, and it’s not easy to run a profitable business.
At the same time, adding an inflation surcharge is… quite something. I’m almost bothered more by it being voluntary rather than mandatory. Like, if costs have gone up considerably, then the restaurant should increase its pricing. The idea behind this fee is basically along the lines of “make a donation to the restaurant to cover costs, if you feel like it.”
I can’t say I’ve ever seen a surcharge exactly like this, though I have seen some surcharges intended to cover healthcare costs for employees, or things of that sort. I don’t love that either, but I at least appreciate the concept a little more, where you know what the money is (in theory) going forward.
Now, I still think restaurants should just increase prices to cover those expenses, but I can at least feel like “okay, that’s going toward these people having healthcare, which is good,” rather than “let the inflation cycle continue by paying a voluntary surcharge to offset costs.”
Does the restaurant really think the inflation that we’ve seen is temporary, and will reverse? I sure don’t think so, despite what we’ve been promised by some politicians. So it seems like the solution is to increase prices, rather than to just essentially try to hide the total cost that customers will pay.
It’s not entirely clear to me to what extent the restaurant is managed by or integrated into the St. Regis, but keep in mind that this is the same hotel that tried to find a loophole to avoid providing elite breakfast. Furthermore, while I can’t personally vouch for this, some suggest this hotel charges for butler service coffee, which would be a first for the St. Regis brand.
Bottom line
Miru Restaurant at the St. Regis Chicago has a 3.5% surcharge on all bills, to “offset rising costs.” While running a business is tough, especially with all that has changed, it sure seems like prices should just be increased outright, rather than adding a voluntary surcharge to all checks.
What do you make of this 3.5% inflation surcharge at the St. Regis Chicago?
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