Millions of workers will benefit from new laws which will ensure they keep 100% of the money they have earned through tips.
Introduced through a Private Members’ Bill last year, the Employment (Allocation of Tips) Act and the statutory Code of Practice on fair and transparent distribution of tips came into force on 1 October 2024.
These changes will require employers to pass all tips, gratuities, and service charges on to workers, without deductions.
If an employer breaks the law and retains tips, a worker will be able to bring a claim to an employment tribunal.
Most employers already pass on tips to the staff who earn them; however these laws will crack down on the minority of businesses who continue unacceptable tipping practices.
Employers in the wrong could be made to pay fines or compensation to staff, with workers able to hold bosses fully accountable through employment tribunals.
For further information please select the following link: Millions to take home more cash as Tipping laws come into force - GOV.UK (www.gov.uk)