Oriental Kopi Cancels Chinese New Year Service Charge Hike Following Backlash

Source: SAYS

Content:

Oriental Kopi, a popular coffee chain in Malaysia, has reversed its decision to increase its service charge from 10% to 15% during Chinese New Year (CNY) following strong public backlash. The coffee chain announced the cancellation of the planned hike on its social media accounts on 22 January, apologizing for the inconvenience caused by the earlier announcement.

“We are very sorry for the inconvenience caused over the past few days. During this Chinese New Year, our service charges will remain unchanged, and no adjustments will be made,” the company said in its statement.

Original Plan and Public Reaction

The initial plan to implement the extra 5% service charge on the first and second days of CNY was intended as a “tip” for employees working during the festive period. However, it drew widespread criticism, with many questioning its fairness.

One vocal critic was Jimmy Puah, a Member of Parliament for Tebrau, who expressed concern over the precedent such a policy might set.

“A precedent that is quite worrisome. After this, all festivals may have a price increase,” Puah remarked, adding that the legality and reasonableness of such charges should be scrutinized.

Intervention by Authorities

The Domestic Trade and Cost of Living Ministry reminded customers of their rights, stating that they could lodge complaints against restaurants implementing similar festive price hikes. This guidance likely added pressure on Oriental Kopi to rescind its decision.

Public Reactions to the Cancellation

The reversal has garnered mixed reactions from the public. Many appreciated the apology and decision to maintain the original service charge, viewing it as a sign of accountability.

“Good move! Businesses should focus on customer loyalty, not opportunistic charges,” commented a netizen.

However, others suggested that better communication from the coffee chain could have avoided the controversy altogether.

Conclusion

This episode highlights the sensitivity surrounding price changes during festive seasons and the importance of clear communication between businesses and customers. While Oriental Kopi’s intention to reward its employees might have been well-meaning, the decision underscores the need for businesses to consider public perception and legal implications before introducing such measures.