Unite celebrates tips victory!

Unite celebrates tips victory and welcomes new hospitality code

Unite has today welcomed the victory for hospitality staff in their campaign to prevent the sector from using tips and service charges being used to pay staff the minimum wage.

Also Unite is pleased to welcome the launch of the ‘Code of Best Practice’ on service charges, tips, gratuities and cover charges. The union was involved in the development of the principles which aim to bring transparency to the hospitality sector.

Unite has been campaigning since 2007 to have the loophole in the minimum wage regulations closed. Unite ran a high profile campaign highlighting the abhorrent practices by some rouge employers which resulted in staff having all or much of the tips left for them by customers taken by their bosses.

Tony Woodley, Unite joint general Secretary said: "Unite is proud that the government has heeded the concerns of waiting staff in their long running campaign to close the loophole in the minimum wage regulations. Consumers were outraged when the union exposed that some employers were using tips and service charges to uplift the pay of staff to the minimum wage of £5.73. The change in the regulations today will be welcomed by workers in restaurants, pubs and hotels across the country."

Derek Simpson, Unite joint general secretary said: "There is now an urgent need for the hospitality industry to be transparent in how they handle the tips and service charge money left for staff. The Code launched today will help consumers see where the money left for good service is going. Unite is looking to the sector to adhere to the best practice principles and ensure that customers have the information they need to make an informed choice before they leave a tip or service charge. Unite wants to see the all employers sign up to the Code and ensure that their staff and customers can be confident that staff are treated fairly."

Unite has the Unite Fair Tips Charter which shows the restaurants, hotels and pubs which have shown their commitment to ensuring that tips and service charges are distributed fairly among staff. Those who have signed up to the campaign display the green fair tips sticker in their window.

A large number of establishments have signed up to the Fair Tips Charter. You can view the establishments at: www.fairtips.org

The Unite Fair pay Charter states that employers pledge to:
1. Pay all employees at least the minimum wage with 100% of tips added on top as a bonus with no hidden charges.

2. Reach agreement on how tips are shared with those staff directly affected.

3. Make no deductions from tips or salaries to cover breakages, till shortages or customer walk-outs.

4. Make all rules for the distribution of tips and service charges available in writing for staff and customers on request.