Allocation of Tips

This was confirmed by commencement regulations for the Act and Code of Practice which were laid before Parliament recently.

Key features of the Act include:

• employers are required to pass on tips in full to workers;
• tips must be allocated in a fair and transparent way;
• employers of businesses where tips are left more than occasionally are required to have a tipping policy in place;
• tips must be distributed within one month following the month in which they were received;
• workers have a right to request a copy of their tipping record in order to enable them to bring a claim to employment tribunal where they believe they are not receiving tips they should be;
• employers are required to maintain a record of how every tip has been dealt with for three years from the date the tip was paid; and
• employers must have regard to the new statutory Code of Practice when distributing tips.