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Restaurants keep adding service fees, even as customers say they don't like them

After wages and other costs have taken off, operators have responded by adding extra charges to the bill. The move risks alienating consumers and attracting regulatory scrutiny. But operators say they don’t have a choice.

Financing

Starbucks' record sales do not appease skeptical investors

The coffee giant recorded the strongest average weekly sales in its history as customers customize beverages and order more food. But its domestic sales slowed and analysts appeared skeptical.

Both of the company's concepts will focus on their menus, one to stress value, the other to underscore on-site prep.

The coffee giant, known most for urban areas and more recently suburbs, believes it has plenty of room to grow. And that could include smaller communities.

Consumers, the FTC and even President Biden are calling for more transparency around the mysterious charges that hotels tack onto guests’ bills.

The rules for employers vary greatly—if they exist at all in a jurisdiction. The volume of do’s and don’ts is expected to soar as the fees proliferate and Washington, D.C., figures out a model.

Whether a "service charge," "living wage fee" or "happy kitchen fee," how surcharges appear on guest checks—and how they are disclosed—can be key in protecting a restaurant from costly litigation.

The company plans to add the artificial intelligence technology from SoundHound to 100 locations by the end of next year.

The owner of KFC, Pizza Hut, Taco Bell and Habit continues to add to its in-house technology capabilities and is building digital sales. But the company wants to keep its focus on what matters.

Are restaurant service charges transparent enough? Opinions among the supposed beneficiaries of these fees vary.

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