Following Unite's Fair Tips campaign restaurants and bars will soon be banned from using tips to top up the wages of staff paid less than the minimum wage, the government has confirmed.
The government said a change in law would come into effect on 1 October excluding the use of all service charges, tips, gratuities and cover charges in payment of the national minimum wage.
Some restaurants use tips to bring the wages of staff up to the minimum hourly rate of £5.73 an hour. under the NMW.
Some staff are paid as little as £3 an hour, as their wage.
The restaurant industry in a scaremongering tactic warned that thousands of jobs would go if they had to comply. Just like they said when the NMW was introduced!
Derek Simpson said: "Hardworking waiting staff will be delighted to learn that bad employers can no longer line their pockets with the money that customers intended to go to workers."
Unite's Fair Tips Campaign without doubt helped win this change.
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