The Consumer Protection Association (CPA) has called for the canceling of service fees at restaurants and cafés. It made the call in a statement on Thursday in which it described the charge as an act of squandering public money. However, the chairman of hospitality committee at Jeddah Chamber of Commerce and Industry has reacted angrily to the call. Dr. Khaled Al-Harthy said that the 15-20 percent fee is only imposed if the customer eats on the premises and that the payment is entirely at the customer's discretion. Al-Harthy says that the service fees should be displayed on the menu so customers see it before ordering. But restaurants say that the removal of the rate could cripple the restaurant sector. Rami Wadeeh, a hotel investor, said that he has yet to receive a notice to cancel the service fees, but says the canceling of the fees will affect many businesses. “Restaurants use the fees for developing themselves and compensating the staff. If the fees are canceled, restaurants will be forced to increase their prices to cover their losses,” Wadeeh said. Earlier this year, the President of the Saudi Commision for Tourism and Antiques, Prince Sultan Bin Salman, instructed hotels and residential units to remove their service fees. The CPA says bringing restaurants in line with this decree would be fairer for the customer.
