New tipping law comes into force
2024
From today (1st October), the Employment (Allocation of Tips) Act 2023 and the statutory Code of Practice on fair and transparent distribution of tips comes into force. This new legislation effectively makes it unlawful for employers to make deductions from employees’ tips, service charges or gratuities.
Should an employer breach this new law, then the employee will be permitted to bring a claim before an employment tribunal, with the offending businesses facing fines and/or paying compensation to staff.
BBPA Director, Andrew Tighe, states,
“This new framework will introduce a level playing field for all businesses, ensuring that those who were not already passing on all tips to their staff will now be required to.
“A greater a degree of consistency and transparency when dispersing tips will benefit both existing and new staff alike.
“We would urge all operators to review the guidance and ensure their policies are compliant with the legislation.”
Links to the new Act and the statutory code of practice can be found below:
Employment (Allocation of Tips) Act 2023
https://www.john-gaunt.co.uk/news/new-tipping-law-delayed-until-october