Tips and gratuities
The payment of tips, gratuities, cover and service charges is prevalent in a number of sectors, including hospitality and the restaurant business.
UK employment law provides that payments paid by the employer to the worker representing amounts paid by customers by way of a service charge, tip, gratuity or cover charge cannot be used to make up the national minimum wage.
If an employee’s basic pay is at the national minimum wage level, any tips paid through the employer’s payroll must be paid in addition to the employee’s basic pay.
Plans to ban employers from taking staff tips announced
New legislation to ensure that tips go to workers and not to their employers will be introduced in a crackdown...
Will the Government’s planned restaurant tips law end unfair tipping practices?
Plans to increase transparency for consumers and employees in relation to tipping have recently been announced by the business secretary,...
Restaurant tipping practices face regulation
Service charges that are automatically added to bills in restaurants could be a thing of the past under government plans...
Tipping point: where employers stand on gratuities and service charges
Big-name restaurants have come under attack recently for their unfair tipping policies, ranging from allegations that management take a percentage...
Restaurant tipping practices to be investigated
Business secretary Sajid Javid has launched an investigation into the abuse of restaurant tipping, following media reports of hospitality employers...
