27 Oct 2008

Holiday eatery closures up says business group

2:54 pm on 27 October 2008

A business group says an increasing number of food and drink outlets are not opening on Labour Day.

The Newmarket Business Association says it's noticed more cafes in Auckland are closed on the holiday and that customers' choices are increasingly based on whether the business has a surcharge.

It's five years since the introduction of the Holidays Act which made it compulsory for employees to be paid time and a half as well as gain an extra day off for working on public holidays.

This prompted many eateries to add 15% to their bills.

The Hospitality Association says its annual survey shows an increasing number of restaurants, bars and cafes impose the surcharge on public holidays.

But many are deciding it's not worthwhile to remain open.