New York City’s council passed a law allowing restaurants to add up to a 10% ‘Covid surcharge’ for eat-in dining. Mayor Bill de Blasio is expected to sign it. It is stupid. Restaurants can already raise their prices.
This accomplishes two things: it lets restaurants charge a higher price than they advertise on their menus, and since customers are willing to pay a certain amount for their meal the surcharge reduces tips. It shifts income from restaurant workers to owners.