The Employment (Allocation of Tips) Act 2023 was expected to come into force on 1st July 2024 but the Government has now announced that this will be delayed until 1st October 2024.

Under the act, it will be unlawful for employers to withhold tips from staff, ensuring that employees receive all the tips they have earned. Businesses where tips are routine will also need to have a tipping policy in place and employees will be able to request their tipping record from their employer.

A new Code of Practice for employers has been drafted and employers will be expected to follow its guidelines when preparing their tipping policies and procedures and paying tips to staff.

Employers in the hospitality, leisure and services sectors where tips are the norm should review their current processes and get the policies and procedures in place to stay on the right side of the new tipping laws.

Contact our employment law experts to find out more

If you are an employee with questions on the new tipping laws, or an employer who needs to understand what you need to put in place before October, then Backhouse Solicitors are here to help. Contact us today to book a free initial consultation with one of our friendly, expert employment solicitors.

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