Restaurant and service personnel to keep tips in new Government Act
Monday, July 18, 2022
A new law outlawing employers from withholding tips from employees in restaurants and services was passed.
A new law supported by the government prohibits employers from withholding tips from employees.
The Employment Act (Redistributing gratuities) was introduced by MP Dean Russell with backing from the Government.
That means British people can be confident, that the money they are receiving will be good for hard-working workers who will benefit from the two million working people it is helping.
Economic Affairs minister Jane Hunt said: "At a time when people are feeling the squeeze with rising costs, it is simply not right that employers are withholding tips from their hard-working employees.
The new legislation will create a new law code of practice giving companies and staff advice on how tips should be doled out.
UK Hospitality boss Kate Nicholls says: "Tips and service charges provide a significant and welcome boost to hospitality employees’ take-home cash.
Watford Conservative MP Dean Russell, said: 'I am delighted that my Tips Bill has passed second reading in Parliament. It is fantastic that we are on track to securing a fair deal for millions of people working in hospitality across the country.