Service Charge
Service Charge: The Legalized Scam You Keep Paying For
Let's talk about Service Charge (SC)—the restaurant industry's favorite way to pull a fast one on customers while still underpaying their staff. It’s that sneaky little line on your bill that magically adds 10% to your total, regardless of how good (or bad) the service was. But what is SC really? Why does it exist? And most importantly, why are you still paying for it?
The American "Tip Culture" Homework (Badly Copied by Thai Restaurants)
In the United States, tipping is a necessary evil because restaurants refuse to pay their staff a living wage. Instead, they rely on guilt-tripping customers into coughing up 15-20% in tips—or risk being labeled as "cheap bastards." However, this system has a basic rule:
✔️ Tipping is voluntary.
✔️ Service Charge only applies to large groups (party of 8 or more).
✔️ The money actually goes to the servers.
Now, let’s talk about Thailand, where this "tip culture" was imported but badly translated. Instead of letting customers tip based on actual service, restaurants decided:
💡 "Why leave it to chance? Let’s just force customers to tip by adding a mandatory 10% ‘Service Charge’ and hope nobody complains!"
And so, SC was born—a corporate scam disguised as a 'polite' restaurant policy.
Service Charge: A Donation to the Owner’s Pocket
In theory, the Service Charge should go to employees. In reality? Almost 100% of restaurants in Thailand just keep it. It’s like a tax, except instead of going to infrastructure or healthcare, it goes directly into the owner's Mercedes-Benz fund.
This led to infamous cases like BonChon, a restaurant chain that refused to remove SC even when customers were furious. People were outraged, saying things like:
"Why am I paying 10% extra when I have to wave down the waiter just to get my first cup of water?"
After massive backlash, BonChon finally removed SC on May 30, 2024—but by then, the damage was done. Customers had already learned the ugly truth about SC:
It’s just a sneaky way to shift labor costs onto customers.
If You Want to Charge SC, Then Make It Legal
If restaurants insist on charging SC, then the law should require:
✅ SC must be listed on the menu. (Not hidden in fine print at the bottom of the bill.)
✅ Restaurants must disclose where the SC money goes. (Is it for employees or the owner’s vacation?)
✅ Employees must actually benefit from it. (Not just a "we promise" situation.)
Because right now, SC is nothing more than corporate gaslighting.
How to Fight Back Against Service Charge
💡 Option 1: Avoid Restaurants That Charge SC.
If a place automatically adds SC, take your money elsewhere. Let them know you refuse to pay extra for “service” when the service barely exists.
💡 Option 2: Ask Where the Money Goes.
Make it awkward. Politely ask, "Excuse me, does the SC actually go to the staff, or is it just extra profit?" Watch the manager squirm.
💡 Option 3: Demand Exceptional Service.
If you’re forced to pay an SC, make them earn it. Need more water? Wave at them every five minutes. Need a napkin? Call three different waiters. If they charge for service, make sure you get it.
Final Thoughts: Just Call It a "Greed Tax" and Be Honest
Service Charge isn't about "rewarding great service." It's a corporate scam designed to make you pay for their labor costs while they keep the profits. The only difference between SC and a straight-up scam? One is legally allowed—for now.
If they’re going to charge us SC, the least they can do is be honest. Just call it what it is:
🤑 "10% Corporate Greed Tax" 🤑
