What is a restaurant adversity surcharge, and should you have to pay it in Wichita?

Restaurateur Jeremy Wade has a new menu item at both his Napoli Italian Eatery and Magnolia Cafe, and it’s one that some are questioning.

“I don’t know why everybody gets in such an uproar,” Wade said.

That’s because it’s not a dish but what he’s calling a restaurant adversity surcharge.

His menus explain that due to “supply chain difficulties & increasing operational costs . . . the restaurant industry is experiencing (including rising wage, benefit & other government requirements), a 3% surcharge will be added to all checks.”

Wade said he’s traveled elsewhere and seen similar things.

“Everywhere you go, there’s service charges and surcharges,” he said. “I thought that might be a good way to recoup some costs from inflation and the labor market.”

Wade said he’s paying 30% more for labor these days along with a lot more in food costs, among other things.

For instance, a case of eggs costs about $90 right now.

“Three years ago, it was, like, 20 bucks,” Wade said. That’s just a small example.”

So why not simply raise prices as costs fluctuate?

“There’s no rhyme or reason as to when things might jump through the roof,” Wade said.

“You’d have to change your prices all the time,” he said, “You’d have to constantly recreate your menu, which is a cost. There’s other things I’d like to focus on.”

Also, each time he redoes the menu, he said he has to redo his computer system and retrain staff.

“I just thought this was an easy blanket way to cover all those variables.”

Wade said a variety of businesses are charging extra these days, such as the people who deliver food to his restaurants.

“They slap gasoline charges on every invoice now.”

Since he’s notifying customers up front, and since he’s not calling it a tax, it looks like Wade has a legal right to charge the 3% surcharge.

Even in the best of financial times, restaurants are known for having some of the thinnest margins of any business. Wade said a lot of customers seem to sympathize, though he has had some questions about the surcharge, and some people have questioned it on social media.

Wade said he appreciates diners who understand the situation. As his menus say: “Thank you for your support during these challenging times!”