A young cafe owner imposing a holiday surcharge says it is a “necessary evil” for many businesses who are passing on the cost of high wages to customers.
Many Australians who dined out on Bank Holiday Monday this week would have reluctantly paid that surcharge, but it’s hard to argue against them based on the numbers. ruby rule shared on Tuesday.
Rule, 25, who owns three cafes in Queensland, was charging an extra 15 per cent on the holiday to help cover the extra cost of staff fines.
“We were operating reduced hours but between my three locations we made $4,705 and of that money $719 was a surcharge,” he explained.
‘Between all my (nine) staff in all my locations, 55 hours were worked today. So, because of the holiday, salaries at my three places went up to $3,500 just for today.’
Rule said paying nine employees on a standard workday cost him $1,800, half the cost of doing so on a holiday.
“That extra $700 we get from the holiday surcharge doesn’t really even cover most of the extra money we have to pay,” he said.
‘This is to show that business owners don’t add the surcharge so they can make more money. “It’s just to try to offset some of that cost.”
Cafe owner Ruby Rule (pictured) explained why holiday rates were a ‘necessary evil’
Rule likes to open on holidays because it attracts new customers, “economically it doesn’t make as much sense as a normal day.”
However, some guests argue that hotels should include fines in their daily rates rather than adding surcharges on those particular days.
‘I understand you, but I still don’t think it’s necessary to instill it in the consumer. It’s part of having a business and has been for a long time,” one wrote.
“So take the surcharge and add it year-round, adding two percent on the 360 odd days you’re open instead of 10 percent on the 10 holidays you choose to add it on,” a second suggested.
‘It’s much more attractive when businesses have higher prices to take this into account and then offer special midweek deals to attract traffic on less busy days. “Surcharges have killed hospitality during the holidays,” said another.
Rule owns three cafes in Queensland including Boney’s in Redcliffe (pictured)
Ms Rule responded: “My clients would rather have the option of staying home on a holiday than having to pay more all year round.”
Many others said Ms Rule’s explanation of staff costs gave them a better idea of why such surcharges are imposed.
‘Thanks for posting, friend! I totally understand the burden you guys have to survive. The truth is that people should be happy that cafes are open on holidays,” said one of them.
‘Thank you for helping us understand. Very open and honest,” wrote another.
A third shared: “I’m happy to pay a holiday surcharge because I appreciate it being open and feel like the staff deserve the extra money.”
