This will be an interesting time for employers whose businesses attract the art of tipping, restaurants / hotels / hospitality to name a few can and will see a change in how the process of tipping is dealt with after April 2020
Does your Company process tips through their payroll software albeit cash or card? Are tips dealt with at the end of a shift? Are they pooled and distributed equally between the staff?
All questions that need to be considered when this change occurs as it will affect so many.
See statements below for some clarity, so the questions to ask is will this be monitored? will there be a naming and shaming should companies chose to not comply and still take a percentage of the tips being left for the hard work of the individual? can the employee whistleblow?
- The Queen’s speech on 14 October included the announcement that restaurants will be required to give employees the full amount of any tips that are left for them, as one of the stipulations of a new Bill that will be passed by Boris Johnson. The new measures will be enforced under The Employment (Allocation of Tips) Bill.
- Currently, there are no measures in place to combat employers taking a percentage of the tips earned by their staff, with many renowned high street names actively making deductions from gratuities donated by customers. The new proposed Bill will put a stop to this practice and ensure that employees receive the full monetary value of the tip that they have been awarded.
The Bill will ensure that 100% tip allocation is concrete in legislation to maintain the notion that individuals are rewarded for how hard they work, and that they receive fair payment that reflects that. The Queen spoke of this issue by confirming “My Government will take steps to make work fairer, introducing measures that will support those working hard."
