Restaurateurs Are Paying the Price of Fake PWD IDs

(SPOT.ph) Restaurants are no strangers to discounts, but with more and more fake Person with Disability (PWD) IDs seriously eating into their earnings, you can't blame these businesses when they say enough is enough. The Restaurant Owners of the Philippines (Resto PH) is now sounding the alarm, warning that the “widespread abuse” is “crippling the food industry.”

The concern follows the Department of Justice's (DOJ) recent clarification that businesses must honor PWD discounts without requiring additional verification beyond a valid PWD ID under Republic Act No. 10754. Although the DOJ’s legal opinion ensures that legitimate PWDs receive benefits without hassle, restaurant owners argue that the lack of stricter checks opens the door for abuse—at their expense.

In response, Resto PH pointed out in a February 3 statement that many people don’t realize the mandatory 20% PWD discount isn't covered by the government but by the businesses themselves.

“Every fraudulent discount comes directly out of a restaurant’s pocket, cutting into already thin margins,” Resto PH said. “For restaurants, especially small and family-run ones, this isn’t just an inconvenience—it’s a financial hit that can mean the difference between survival and closure.”

Also read: PWD Discounts Must Be Honored Without Additional ID Checks, DOJ Says

Here’s what restaurant owners have to say about fake PWD IDs

To understand the impact on the ground, SPOT.ph spoke to seasoned restaurateurs Robby Goco (Cyma Group) and Edward Bugia (Bean & Yolk, Mimi & Bros, Flipside Burgers) to get their perspectives on the issue.

For these chefs, the DOJ ruling only makes things worse.

“The DOJ has stated that denying a discount due to unverifiable IDs is not in compliance with the law. If this is the case, we ask the DOJ: Does this mean businesses must accept all PWD IDs without question, even if they are clearly fake? How can restaurants protect themselves from fraudulent claims while still honoring real PWDs?” Bugia said.

Goco added that the restaurant industry had already seen a decline in fake PWD ID usage in recent months due to Resto PH’s awareness campaign on the issue, but this recent decision could easily backtrack that progress. “Talking about rights, what about our rights as business owners?”

The proliferation of fake PWD IDs has become rampant in recent years, so much so that Waya Araos-Wijangco (Gypsy Baguio by Chef Waya) noted how “we get whole tables all with PWD ID, including the yaya.”

Resto PH’s statement also described how a single table using multiple fake PWD cards could lead to significant revenue loss, affecting not just profits but also employee wages, food quality, and menu prices for paying customers.

Bugia broke down the numbers to show just how much businesses are losing.

"The 20% PWD discount in restaurants is not reimbursed by the government but can be deducted from taxable income. However, businesses still shoulder the cost. For a restaurant making P1M in monthly sales, with 100 PWD customers, the total discount given is P17,857... After accounting for VAT implications, the total business loss from PWD discounts and input VAT allocation can reach P20,617.71 per month,” Bugia said.

Elbert Cuenca (Elbert's Steak Room, Elbert's Collective) reported losing up to 30% in revenue for what he believes is due to fake PWD IDs. 

With no way to verify whether a PWD card is real or fake (the Department of Health's national registry for PWDs remains largely incomplete as of writing), restaurant owners are left with little choice but to comply—even if it means taking on significant financial losses. A growing number of them warned that if the abuse continues, businesses may be forced to make tough decisions just to stay afloat.

“If this trend of abuse of fake PWD cards continues, we might be left with no option but to increase prices. We are also toying with the idea of introducing meal bundles, which are excluded from any discount,” Goco said.

Some relief may come with the Department of Social Welfare and Development’s (DSWD) planned rollout of a new ID system for PWDs by July—but it is still some six months away, assuming the current pilot testing proceeds without delays.

Until then, restaurant owners worry that fraudulent claims will continue unchecked until stricter measures are implemented. The least the government can do, Bugia said, is explore alternative solutions to prevent the rise in fake PWD IDs.

“If stricter verification isn’t an option, a digital system—perhaps a secure, government-issued QR code or an official PWD database that businesses can discreetly access—could help prevent fraud while maintaining convenience for those who genuinely qualify,” Bugia said. “Stricter penalties for misuse, combined with education about the impact of fake PWD IDs, might also help deter abuse."

Beyond verification, some restaurateurs like Goco argue that there should also be a limit on how much businesses are required to shoulder.

“If I were to suggest, can there be at least a cap on these discounts?” Goco said.

With no immediate solutions in place, Resto PH is turning to customers, urging them to be part of the solution rather than the problem.

“We’re asking for fairness. The discount should help those it was meant for, not be a loophole for those looking to save a few pesos at the expense of struggling businesses. If you care about the restaurants you love, help protect them—say no to fake PWD cards,” Resto PH said.

Also read: Splitting the Bill? DOJ Clarifies PWD Discounts for Dine-In and Delivery