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Some Diners Don’t Appreciate “Kitchen Appreciation”

Friends of MrConsumer have been trained to check the fine print of their transactions. A bit of scrutiny of a recent restaurant bill revealed a surprising add-on to the check:

*MOUSE PRINT:

Kitchen appreication

An extra charge of $1.29 called “kitchen appreciation” was added to the tab. When my friend asked the server what that was, he got kind of a muddled explanation, and was told to check the menu.

On the Sweet Cheeks menu (which is owned by first season Top Chef finalist Tiffany Faison) there is a disclosure that reads in part:

WE ARE IMPLEMENTING A 3% KITCHEN APPRECIATION FEE TO THE GUEST CHECK THAT WILL DIRECTLY BENEFIT OUR BACK OF THE HOUSE (BOH) TEAM.

WE STRUGGLE WITH THE DISPARITIES BETWEEN FRONT OF THE HOUSE (FOH) AND BOH WAGES.

THE WAGE GAP BETWEEN THE FOH AND BOH HAS BECOME STAGGERING. FOH EMPLOYEES EARN NEARLY THREE TIMES MORE THAN THEIR BOH COUNTERPARTS.

THE KITCHEN APPRECIATION FEE ALLOWS ALL BOH EMPLOYEES TO DIRECTLY BENEFIT FROM THE TOP LINE SUCCESS OF THE RESTAURANT.

Put simply, the customer is being told that they must subsidize the comparatively low wages of the kitchen staff by being surcharged 3-percent on the total bill. (MrConsumer might point out that the restaurant then appears to charge meals tax on top of this kitchen tip which is probably not authorized under state law.)

Sweet Cheeks didn’t come up with this idea on their own. Famous New York restaurateur Danny Meyer two years ago started the ball rolling by no longer allowing tipping so he could instead charge more for meals and then more equitably distribute the extra income between servers and kitchen staff. Other restaurants began adding hospitality fees as a way to better pay and retain kitchen staff.

So, what do you think about adding a 3-percent “kitchen appreciation” fee automatically to restaurant bills? Add your comments below.

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FDA to Manufacturer: If You Make a Product with Love, Don’t Advertise It

Some federal agencies have been subjected to criticism lately that they are not policing the marketplace as much as they did in the past to protect consumers. For example, Bloomberg reported two weeks ago that the Food and Drug Administration was sending 30 percent fewer warning letters to companies about serious health and safety violations than they did every year since 2008.

Now comes news that in September, the FDA sent a warning letter to Nashoba Brook Bakery in Massachusetts alleging serious violations discovered when it spent three days inspecting their manufacturing facility.

FDA warning letter

Besides citing instances of unsanitary conditions that inspectors discovered, it noted a serious labeling violation on packages of Nashoba Granola.

Nashoba granola

*MOUSE PRINT:

Love ingredient

Love ingredient

Yes, dear friends, Nashoba Brook Bakery was charged with selling misbranded products because they creatively made their granola with “love” and included that on the label.

John Gates, the CEO of the bakery, explained to Mouse Print* that while they will remedy the sanitary deficiencies cited by the FDA, “we will continue to put care, attention, passion and LOVE at the center of what we do. That’s who we are and who we want to be.”

We say the FDA should concentrate on real health and safety violations like the other findings in their letter. But, have a little heart (and common sense) when it comes to unofficial ingredients like love.

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Is It a Feature Story or a Commercial?

On September 6, Inside Edition ran a story during their daily program where a dermatologist was being interviewed giving tips to viewers on how to maintain a youthful, healthy appearance. Toward the end of the segment she recommends a particular product for the face and neck.

Here is the web version of the story (which may vary slightly from the TV version which our story is about):



Click arrow to play video

It only began to sound fishy when the dermatologist started ticking off all the benefits of the cream and then said it was a bargain at Target.

To the best of MrConsumer’s memory, there was no conspicuous disclosure at the beginning of the TV version of the piece nor at the end to indicate that the doctor was a paid endorser, as it appears at the end of web version.

In fact, it was at the end of the TV show in the credits that the following disclosure appeared, captured live as it aired:

*MOUSE PRINT:

Inside Edition disclaimer

So what’s the problem here? There are actually two issues. First, this story had the look and feel of any other segment on Inside Edition when in fact it was a mini-infomercial for a product. In Federal Trade Commission-speak, this is “native advertising” where an ad is made to look just like the surrounding content in form and style. And the FTC has guidelines saying there should be clear and conspicuous disclosure that this is actually advertising.

There were some half-hearted attempts within the piece to make disclosures. The voiceover states in passing toward the beginning “we teamed up with No7.” The trouble is the viewer has no idea what “No7” is because it is not a familiar product name and has not yet been introduced on the screen. That disclosure doesn’t clearly convey that this is really an ad. It is several minutes after the piece ends in the TV version that the bold on-screen disclosure is made, as shown just above.

Secondly, under the FTC’s guides governing endorsements and testimonials, since it appeared that the doctor was merely a guest being interviewed on a television program and was not acting in a commercial, the viewer would have no idea she was being paid by the manufacturer. Thus, a clear disclosure of that fact was necessary. In our view, the identifier thrown up on the screen for a mere three seconds — “Dr. Doris Day — Dermatologist/No7 Spokesperson” — would not be noticed or understood by most viewers to clearly convey the fact that this doctor had been paid for these comments. And the disclosure at the end of the program was too late.

Dr. Doris Day

We wrote to the executive producer of Inside Edition raising these issues, asking why better disclosure was not made, and whether it would be in future pieces. To date, no response has been received.