Under new legislation, restaurants and businesses are required to share 100% of tips with staff, ensuring fair distribution and offering legal recourse for violations.
Hospitality business leaders express concern that this new law may impose additional financial burdens, especially on under-pressure establishments already struggling amid economic challenges.
The requirement to hand over tips follows years of criticism faced by companies like Pizza Express and Wahaca regarding their former practices around tip distribution.
The Government has introduced this law to enforce fair tip distribution after a significant report suggested action nearly eight years ago, aiming to protect workers’ rights.
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