Popular restaurant chain may rethink controversial service charge after customer backlash

Key Points:

• Ford’s Garage is reconsidering its policy of automatically adding a 20% service charge at select Florida locations after some customer dissatisfaction, with the chain’s president acknowledging the need to listen to consumer feedback.
• The service charge, introduced by franchisee 23 Restaurant Services, replaces traditional tipping and supports a commission-based pay model designed to provide higher wages for servers and more equitable compensation for kitchen and support staff.
• While the policy has resulted in significantly higher average hourly pay for employees and year-over-year growth at participating restaurants, some diners oppose the mandatory fee, prompting ongoing discussions about its future.
• The service charge is clearly disclosed to customers before ordering, and additional tips remain optional; franchise representatives argue the fee is comparable to higher menu prices and does not reduce staff incentives to provide quality service.
• Ford’s Garage, founded in 2012 and operating 36 restaurants across nine states, emphasizes affordability and consistent hospitality, viewing good service as a key factor in addressing customer concerns related to the service charge.