Upon GST implementation, Malaysians have taken their bills seriously and perhaps now noticed there is a service charge on their bills. Ironically, many Malaysians do not know that this charge was implemented long ago and has taken rants on social media.
Service Charge has long been implemented by Restaurants, Hotels and Industry which provides services to clients. The workers of these industries usually have very low salary or living with minimum wages. Malaysia which is not a particularly tip friendly country as compared to United States where it is ethically required to tip their waiters around 15% to 25% of the dine value. Service Charge was introduced as a mean to supplement these services workers with extra income. A worker’s salary is very dependent on income from Service Charge. In a lot of cases, Service Charge contributes to at least 30% of the workers income.