Sodexo, Accor face ire of AHAR restaurants

MUMBAI: Around 6,500-odd restaurants, that are part of the Association of Hotel & Restaurant owners (AHAR) in Mumbai, are refusing to accept meal vouchers issued by Sodexo and Accor Services. The restaurant owners claim that the two firms are charging nearly 6% on food coupons, while the agreement states that they should not be charging more than 1.5%. These coupons are widely used by lakhs of employees in Mumbai.

Sodexo did not respond to the specific queries raised by ET. It, however, added that it had a ���cordial relationship��� with each of its affiliated partners. Accor Services India said: ���We have not heard from any individual merchants on this issue, hence, it is difficult to comment on their position or feeling.���

Many companies that do not have a canteen facility provide employees with meal vouchers, which can be redeemed at designated restaurants or food outlets. The eateries, accepting these coupons, are reimbursed by the meal pass services companies ��� Sodexo and Accor in this case ��� after deducting their commissions. Many companies pay a small component of employees��� salaries by way of meal vouchers ��� up to a maximum of Rs 24,000 per annum ��� as these are not taxable.

According to the AHAR president Narayana M Alva, both the companies are violating the previously agreed terms. ���We have received complaints from our members that Sodexo and Accor have been overcharging commissions, which are way above the agreement, from restaurants,��� he said. ���They have started levying listing charges, courier charges, etc, and the total charges work out to around 6%.

However, as per the agreement, the maximum charge should not exceed 1.5%,��� he said, adding that the two firms have not yet responded to their written complaints. Mr Alva���s contention is that such high rates are further putting pressure on the margins of restaurants, which are already witnessing a drop in customers.