2014News

10% tip for take out?

ProConsumidor, the Dominican government consumer protection agency, has asked the Ministry of Labor to issue a resolution clarifying whether take out restaurant and food outlets should be charging their customers the 10% legal tip. Consumers have complained that the 10% should only be charged to customers who eat in the establishment, not for takeout, as reported in Diario Libre.

A spokesman for one food franchise said that the application of the charge began after the installation of the Tax Agency (DGII) integrated cashiers (impresoras fiscales).

Orquidea Nunez of the Herrera DGII office defended the charge, as reported in Diario Libre. She said staff still served the goods to the customer, even if they were for takeout.

Altagracia Paulino of ProConsumidor said that when the measure was included in the Labor Code there were not so many delivery or takeout services. She said she has been asking the Ministry of Labor to resolve the situation since she started in the post five years ago.

Many businesses use the income from the 10% tax to distribute additional revenues among employees given that they do not accumulate for severance payment. In some cases, the 10% received is more than the base salary.