A stall operator in Johor is facing a hefty fine after he was caught not updating prices in the menu following a price hike during the Chinese New Year period.
This comes after a customer discovered discrepancies in prices displayed on the menu and the receipt and lodged a complaint with the authorities.
Raised prices to pay workers higher wages
Speaking to reporters during a press conference, the stall operator named Xie (transliteration) said prices were increased between 50sen to RM2 from Feb 14 to Feb 25.
This was to allow employees who worked during the festive season to be paid triple wages on CNY Eve and double wages from the first to fifth day of CNY.
A notice informing customers of the price adjustments was also displayed.
Complaint made over price differences
Xie said the customer came on the first day that the price adjustment took effect and ordered several items.
However, the customer noticed that prices shown on the receipt was different from the menu’s and reported it to the Ministry of Domestic Trade and Cost of Living (KPDN).
On Feb 26, six KPDN officers turned up at the stall and seized the price adjustment notice, menu, and receipt issued to the customer.
Notice deemed ‘unenforceable’
Xie said he told officers that he had put up the notice informing customers of the price increase, only to have the latter telling him that was illegitimate.
“I also explained to them that prices were increased to pay employees higher wages. Another factor was rising transportation costs as some ingredients cannot be stockpiled in advance in large quantities.
“But the officers instructed me to obtain receipts from the transport companies to prove that these related costs had increased,” he added.
Xie also said officers informed him that he wasn’t allowed to place stickers showing the new prices on the menu and have to print a new one instead.
Faces RM3,000 fine
Meanwhile, Segamat Municipal Council (MPS) councillor Eric Teo, who was also present, said he visited KPDN’s Segamat branch to understand the situation and was told that Xie faces a minimum fine of RM3,000.
He also urged authorities to be understanding of the cost pressures faced by businesses during festive periods and to provide clearer guidelines for operators who need to adjust prices during that time.
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